Northern Powerhouse Rail revived by Labour with £45bn pledge

The Labour government pledged up to £45bn for Northern Powerhouse Rail and has made about £1.1bn available to develop a detailed three-stage plan to improve links between cities from Liverpool to Newcastle.

The Labour government has pledged up to £45bn to build Northern Powerhouse Rail, describing the move as a reversal of long-term underinvestment in northern transport. About £1.1bn has been allocated to develop a detailed three-stage delivery plan to connect cities from Liverpool to Newcastle. The scheme is presented as the backbone of a wider growth plan, with faster and more frequent train services and a new Bradford station included in early works. Officials said a Treasury funding cap of £45bn will apply and that local contributions could be required for parts of the programme. Key details: - Funding: the government set a £45bn funding cap for Northern Powerhouse Rail and said local contributions could top this up. - Development money: about £1.1bn has been made available to prepare a detailed three-stage plan and delivery timings. - Stages: the first stage builds on current TransPennine upgrades and includes a new Bradford station; the second stage proposes a Liverpool–Manchester route via Manchester Airport and Warrington using some of the previously planned HS2 corridor; the third stage aims to improve east–west connections across the Pennines between Manchester, Leeds, Bradford, Sheffield and York, with services running on to Newcastle via Darlington and Durham. - Timing: work is expected to begin in the 2030s with completion of the full programme not anticipated until at least 2045. - Birmingham–Manchester line: the government set out an intention to build a new Birmingham–Manchester line after completion of Northern Powerhouse Rail but said this would not be a reinstatement of HS2. - Local funding and station issues: ministers said local funding options under consideration include business rates, tourist taxes or borrowing against future revenues, and Greater Manchester mayor Andy Burnham has highlighted continued doubts over an underground station at Manchester Piccadilly. Summary: The pledge frames Northern Powerhouse Rail as a phased, long-term programme intended to transform connections across northern England and to support wider economic plans. The next formal step is development and design work funded by the initial allocation to create a detailed delivery plan with timings; work is then expected to move into construction in stages beginning in the 2030s. Undetermined at this time.