North missed £140bn of transport investment over last government, research finds
The North of England would have received an extra £140 billion in transport investment under the previous government if funding levels had been the same as in London, research has claimed.
Independent analysis by think tank the Institute for Public Policy Research (IPPR) looked at Treasury figures between 2009/10 and 2022/23, during which time the Conservatives were in power.
It reached the figure, which it said was enough to build seven Elizabeth Lines, by considering the amount of spending per person across the different English regions over that period.
While England as a whole saw £592 spent per person each year, London received double that amount with £1,183 spent per person, the IPPR said.
The entire North region saw £486 spent per person, with the North East and North West seeing £430 and £540 spent per person respectively.
This amounted to £140 billion of missed investment for the North, more than the entire £83 billion estimate of capital spending on transport in the region since 1999/2000, according to the analysis.
The region with the lowest amount of investment over the period was the East Midlands with just £355 spent per person.
Among the most divisive transport investment projects for the previous government was the HS2 rail project, which was axed north of Birmingham in October 2023.
Then-prime minister Rishi Sunak pledged to 'reinvest every single penny, £36 billion, in hundreds of new transport projects in the North and the Midlands', including improvements to road, rail and bus schemes.
Earlier this week, Chancellor Rachel Reeves announced a £15.6 billion package for mayoral authorities to use on public transport projects across the North and Midlands ahead of the spending review.
It is expected to include funding to extend the metros in Tyne and Wear, Greater Manchester and the West Midlands, along with a renewed tram network in South Yorkshire and a new mass transit system in West Yorkshire.
Marcus Johns, senior research fellow at IPPR North, said: 'Today's figures are concrete proof that promises made to the North over the last decade were hollow. It was a decade of deceit.
'We are 124 years on from the end of Queen Victoria's reign, yet the North is still running on infrastructure built during her rein – while our transport chasm widens.
'This isn't London bashing – Londoners absolutely deserve investment. But £1,182 per person for London and £486 for northerners? The numbers don't lie – this isn't right.
'This Government have begun to restore fairness with their big bet on transport cash for city leaders.
'They should continue on this journey to close this investment gap in the upcoming spending review and decades ahead.'
Former Treasury minister Lord Jim O'Neill said: 'Good governance requires the guts to take a long-term approach, not just quick fixes. So the Chancellor is right in her focus on the UK's long-standing supply-side weaknesses – namely our woeful productivity and weak private and public investment.
'Backing major infrastructure is the right call, and this spending review is the right time for the Chancellor to place a big bet on northern growth and begin to close this investment chasm.
'But it's going to take more than commitments alone – she'll need to set out a transparent framework for delivery.'
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