A third runway at Heathrow grabbed the headlines. The UK Chancellor of the Exchequer is in danger of becoming known as Rachel “Further and Faster” Reeves. She made multiple references (six in total) to her desire for distance and speed in her wide-ranging economic announcement on Wednesday (29 January). Rail infrastructure development figured in her speech.
For once, an announcement from the UK government did not pigeonhole the rail industry. Rachel Reeves, the UK Chancellor, has laid out a long list of measures to boost the UK economy. The change of political ideology at Westminster has not changed the rhetoric of growth. Delivering it may remain the challenge, but if a new runway at Heathrow is finally built, it will be a programme that is finally cleared for take off.
East West politely welcomed
Rachel Reeves is the latest in a long line of UK Chancellors to promise a shopping list of infrastructure enhancements. She is also just the latest in a long line of politicians to indulge in ‘relaunching’ already committed projects. Reeves raised eyebrows by referring to “funding the transport links needed to make the Oxford Cambridge growth corridor a success, including East-West Rail, with new services between Oxford and Milton Keynes starting this year.” East West Rail – newsflash Rachel: it’s already been under construction since 2020.
However, in fairness to the Chancellor, Rachel Reeves did commit to a new review of infrastructure in her speech, covering the entire UK. “In Spring, we will publish the Spending Review and a 10-Year Infrastructure Strategy, “ she told a polite business audience in attendance at a Siemens healthcare facility in Oxfordshire. The emphasis, albeit a repeated emphasis, on the East West Rail project was quietly welcomed by the audience, many of whom may take advantage of the connectivity it will afford with Cambridge.
New town for new railway
The forthcoming infrastructure announcements may offer more tangible benefits for rail freight. However, the speech in Oxfordshire brought immediate comment from the sector. “We welcome the measures outlined in today’s speech to unlock investment and drive economic growth,” said Maggie Simpson OBE, the Director General of the industry representative body, the Rail Freight Group. “Rail freight is a key enabler of infrastructure construction, helping major projects reduce their transport emissions and keeping HGVs off local roads. Our members will be working hard to support these schemes as they get underway.” An example of that, not far from the announcement location, may well be HS2 – the high speed rail project, accounting for thousands of rail freight movements.
There were major infrastructure projects – like the third runway at Heathrow, and the hint of a new town at the junction of East West Rail and the East Coast Main Line. The latter was a little treat just dropped into conversation by the Chancellor. These will undoubtedly be supported by rail freight. This was noted by Maggie Simpson, who alerted the sector to the potential for collateral growth. “To fast track delivery of these key projects, Government needs to ensure it provides the right support for freight,” she said. “In its plans for rail reform, [it needs to] support private sector investment and ensure key terminals, particularly in cities, are protected for long term use.”