The Government is revitalizing the Northern Powerhouse Rail with a phased £45bn plan for the North
The government has unveiled a long-awaited plan to revive Northern Powerhouse Rail (NPR), setting out a phased plan for rail investment that it says will transform connections across the north of England and unlock billions in economic growth.
The multi-billion pound scheme, first proposed more than a decade ago, aims to deliver faster journeys, more frequent services and improved capacity between major Northern cities through a combination of new train lines, improved routes and modern stations. Ministers say the project could add £40bn to the UK economy over time by improving labor mobility and stimulating private investment.
An initial £1.1bn has been allocated to design and preparation work, with construction expected to start after 2030. The scheme will be delivered in phases, with early development focusing on routes linking Leeds, York, Bradford and Sheffield, before moving on to the new Liverpool–Manchester line and long-term developments linking Manchester to Yorkshire cities.
Prime Minister Keir Starmer said the plans marked a break from years of broken promises. “The cycle of lip service about the North’s ability must end,” he said. “This government is rolling up its sleeves to deliver real, lasting change.”
The NPR will be at the heart of the wider Northern Growth Strategy, to be published in the spring, which aims to link investment in transport with housing, skills and regional development. Ministers believe that improved rail links are vital to creating a single, stronger labor market across the North, close to the scale and opportunity of London and the South East.
Transportation Secretary Heidi Alexander said the plan was designed to address decades of underinvestment. “This new era of investment will not only speed up travel, it will mean new jobs and homes for people, making a real difference to the lives of millions of people,” he said.
Previous priorities include the development of key stations in Leeds, Sheffield and York, and the renewed push behind a long-awaited new station in Bradford, which local leaders say could significantly expand access to jobs and training for young workers. A new station at Rotherham Gateway is also planned, and the government has confirmed it will pursue a business case to reopen the Leamside line in the North East.
However, while ministers have set aside a total of £45bn in central government funding, they have committed to spend beyond 2029, leaving future stages dependent on detailed planning, public finance and potential contributions from local authorities. The Department for Transport said the precautionary approach reflects lessons learned from the troubled HS2 scheme, which has been plagued by delays, cost overruns and significant undercapacity.
Industry figures broadly welcomed the new focus on the North, but warned that reliability would depend on delivery. Rob Morris, chief executive of Siemens Mobility UK & Ireland, said the plans “look very realistic” and could unlock productivity gains, but warned against repeating the “stop” funding cycles seen under previous governments.
Business groups also emphasize the importance of certainty. Henri Murison, CEO of the Northern Powerhouse Partnership, said the proposals provide “a clear path to higher productivity growth”, adding that improved rail links will allow talent and businesses to work across the region in ways that are currently impossible.
However, the opposition accused the ministers of kicking the delivery into the tall grass. The Conservatives said the lack of firm timelines and long-term funding risked turning the NPR into another rehashed promise rather than a reform project.
For northern cities and investors alike, the next test will be whether the government can move from vision to execution – and finally deliver the rail link that has been promised since the founding of the Northern Powerhouse.
