Transport improvements in the North of England are a focal point for local leaders, with an overhaul expected to significantly boost the economy while benefitting local communities and the property market.
This week, train links between major northern cities came under the spotlight as the UK government announced major transport overhaul plans in the North of England, while it also revealed that it was looking to build a new rail link between Manchester and Birmingham.
Hailed by the government as “the biggest transformation to travel in the North in a generation”, £1.1 billion has been committed over the Spending Review period, which means the plans are expected to come to fruition from the early 2030s. It offers the potential to boost the UK economy by tens of billions of pounds by bringing northern connectivity up to the same standards as that enjoyed by the South.
On a local level, the huge injection of funds into transport and connectivity is expected to bring huge benefits to the housing markets of the North. As transport improvements take effect, including the increase in desireable employment opportunities attracting more people to the area and pushing up values. The increased focus on investment in regional towns and cities – from both a government and a private perspective – has already had this effect, with Manchester and other northern cities seeing the fastest growth in property prices and rental values over recent years.
Which areas will benefit?
The Northern Powerhouse Rail initiative – which was actually first coined back in 2014 – encompasses Manchester, Liverpool, Hull, Newcastle, Sheffield and Leeds, with the project falling under the remit of Transport for the North.
The project is set to take place in three phases:
- Improved connections between Sheffield and Leeds, Leeds and York, and Leeds and Bradford. In the North East, development work on the Leamside Line will also be taken forward alongside Northern Powerhouse Rail.
- A new route between Liverpool and Manchester, running via Manchester Airport and Warrington
- Improved connections across the Pennines between Manchester, Leeds, Bradford, Sheffield and York. Regular services will run onward to Newcastle via Darlington and Durham; Hull; and Chester for North Wales connections.
While the outline focus is on major cities, towns in the surrounding areas – particularly commuter towns – would also be set to benefit from both road and rail improvements. This would come through increased employment opportunities, a housing market boost and better access across the whole of northern England.
Commenting on the announcement, Professor Dame Nancy Rothwell, Deputy Chair of the Industrial Strategy Advisory Council, said: “The Industrial Strategy set out the compelling economic case for a more connected and productive North and today’s announcement is a welcome step forward.
“This investment will support the region to thrive and recognises that the North is a great place to invest with its skilled workforce and world-class strengths in the Industrial Strategy’s growth-driving sectors.”
Opportunities for the North
The scope for improvements to the North’s train lines and roads is huge, representing an opportunity for major growth in the liveability and desirability of many areas. Boosted connectivity between the fast-growing city regions in the area will generate more jobs, new homes and more opportunities for businesses.
Speaking in Parliament yesterday, UK Transport Secretary Heidi Alexander said: “Political choices, over decades now, mean a 40-mile commute into Manchester is a world away from a similar journey into London.
“Take Liverpool, which has only two fast trains an hour to Manchester. Where a direct rail journey to Manchester Airport takes an hour and 25 minutes, when it’s only 28 miles away. Or take Leeds. Still the largest city in Western Europe without mass transit, with only a third of the population able to reach the city centre in 30 minutes.”
Northern Powerhouse Rail will also build on the Transpennine upgrade plan, upgrading the existing Transpennine main line for 70 miles between York and Manchester to provide an electric network and increased capacity.
Henri Murison, Chief Executive of the Northern Powerhouse Partnership, said: “Northern Powerhouse Rail will enable a single labour market more like that of London and the South East so a young person in Bradford could aspire to work in Sheffield or Manchester, or a business there attract talent from further afield than they can today. The potential of the North will be unlocked, giving us better paid jobs and new homes.”
Is the government promising HS2 take-two?
The UK’s beleaguered HS2, which was scrapped north of Birmingham in 2023 by then-Prime Minister Rishi Sunak, was seen as a major blow by many in the North who had been set to benefit; although the escalating costs of the project had sparked concerns. The line had been planned to extend past Birmingham up to Manchester and Leeds, but will now terminate at the Midlands city.
In the government’s announcement yesterday, it somewhat briefly mentioned plans to better connect Manchester with Birmingham as part of its latest investment, stating it intended “in the long term to build a new rail line between Birmingham and Manchester”.
Both the Transport Secretary and government officials were keen to stress that the project is not “HS2 reheated”. What’s more, delivery of this new line will not take place ahead of Northern Powerhouse Rail, so it could be a decade or more before the work is done.
