A leading North-East business organisation last night welcomed the Prime Minister's claim that there was to be a "real focus" on improving infrastructure across the North of England, after claiming it was needed to prevent the region striving for economic growth with one hand tied behind its back.
When he delivers his autumn statement today Chancellor George Osborne is expected to announce that 40 "shovel-ready" infrastructure projects are to be accelerated.
The first of these, a scheme to slash rail journey times across the Pennines, was revealed by David Cameron yesterday, who added there was to be a focus on improving infrastructure across the North of England.
The scheme to electrify the ageing line between Leeds and Manchester, should see journey times from Newcastle to Liverpool cut by 45-minutes.
Another scheme expected to be speeded up is refurbishment of the Tyne and Wear Metro, which is due to receive £350m of investment over the next ten years.
Other infrastructure schemes nationally, expected to be speeded up by Mr Osborne today, focus on roads, high-speed broadband, energy projects and a £600m programme to fund an extra 100 'free schools' by 2014.
The Chancellor will announce he has found £5bn for capital
investment over the next three years.
The news was last night welcomed by the North East Chamber of Commerce (NECC) which had written to Mr Osborne ahead of today's announcement calling for the acceleration of infrastructure spending.
It was amongst measures which needed addressing immediately to prevent the North East entering "the fight for economic growth with one hand tied behind its back," the NECC said.
In the letter its chief executive, James Ramsbotham said: "The North-East does not want, nor does it require special attention, but we do deserve parity with the rest of the UK when it comes to investment in planes, trains and automobiles infrastructure, energy, broadband networks and taxation."
He added: "If we are to fulfill our economic potential we must have the same opportunity as the south-east to be globally competitive.
"While we appreciate that change does now occur overnight, we are demonstrating the strategic and economic value a high-speed rail network would bring to the region or much needed upgrades to the A1 and A19, highlighting that our airports continue to be hit by heavy taxation and that acceleration of broadband funding would enormously boost our digital network."
The Chancellor is expected to announce an overall £30bn boost to
infrastructure spending through to the end of the decade, the rest
pump-primed by pension funds.
Speaking in Manchester, Mr Cameron said work would begin next year to electrify the north-Transpennine route between Leeds and Manchester, attracting new private investment to the North.
He added: "It is part of a big infrastructure plan, looking at the infrastructure needs of the whole country. But there is a real focus on improving infrastructure across the North of England."
The announcement brought forward the project by at least two years, because it was in Network Rail's programme to be considered sometime between 2014 and 2019.
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