The key Durham and Darlington projects ahead of Budget

Rachel Reeves will present her first Budget as Chancellor to the House of Commons on Wednesday (October 30) amid reports of the tax rises and spending cuts it could contain. The Government said after entering office that it needed to fill a £22 billion “black hole” in the public finances.

The Local Democracy Reporting Service looks at what regional projects might be affected by the Budget.

Railway restoration projects 

Rail projects in County Durham and Darlington are under threat after funding was scrapped in July. (Image: The Northern Echo) The Conservative Restoring Your Railway programme was launched in 2019 and intended to reopen stations and closed lines.

But projects in County Durham and Darlington are under threat after funding was scrapped in July. 

Bids to reopen Ferryhill Station, renew rail links between Consett and Newcastle, and create a passenger rail service from Darlington to Weardale, County Durham, were all backed by the previous Conservative government. 

While some projects were more advanced than others, all three received cross-party local political support and cost thousands of pounds to submit. Durham County Council said it hopes the three projects will continue.

Meanwhile, the North East Mayor confirmed plans to reopen the Leamside Line will continue despite the Government scrapping the major railway fund.

Restoring the Leamside Line, which runs from Pelaw in Gateshead to Tursdale in County Durham and closed in the 1960s, has been an ambition among North East leaders for years.

It would allow for an extension of the Tyne and Wear Metro to Washington and free up capacity to run more services on the East Coast Main Line, as well as providing links to and between emerging job sites in Gateshead and Sunderland.

Campaigners face a tense wait to see if any of the projects will go ahead. 

County Durham transport funding 

A North East council leader recently urged the Government to urgently confirm that it will honour a £73 million commitment to County Durham. The county was awarded a share of the £4.7 billion Local Transport Fund earlier this year, as the Tories diverted funds following Rishi Sunak’s decision to scrap the northern leg of the HS2 rail project. 

But Martin Gannon, deputy mayor of the North East, revealed this week that the region is yet to receive confirmation that Sir Keir Starmer’s Labour administration will still hand over that funding.

Councillor Gannon told a North East Combined Authority meeting that it would be “completely unacceptable” if Labour reneged on the pledge. Durham receiving cash from that pot was seen as essential for transport upgrades in the county between 2025 and 2027

Darlington transport links

The biggest single funding allowance from the £978 million programme is the £250m dedicated to the Darlington Northern Link Road. (Image: The Northern Echo)

There are fears that the £978 million transport plan, approved earlier this year by Tees Valley Combined Authority cabinet, will not be entirely fulfilled.

Tees Valley mayor Ben Houchen previously said funding that had been allocated to the area was now under review. 

The biggest single funding allowance from the £978 million programme is the £250m dedicated to the Darlington Northern Link Road, which aims to better connect the A66 to the A1(M). 

But former Darlington MP Peter Gibson recently said, “I genuinely fear for our hard fought for Northern Link Road”.

Other projects such as building a new train station on the site of the old Teesside Airport station are scheduled to be funded by this £978m programme. There are also plans to introduce 15 “trackless trams” to five town centres in the Tees Valley, while also improving rail links between Darlington and Hartlepool. 

Hospitals

How the new Shotley Bridge Hospital could look (Image: The Northern Echo)

Shotley Bridge Hospital was one of 40 identified by the previous Conservative government earmarked for a rebuild by 2030 - but plans have been cast in doubt since Labour announced a review of the scheme in July. 

The government said all projects within the New Hospitals Programme were under review because of funding constraints. MP for Blaydon and Consett Liz Twist said Labour’s decision is due to the lack of funding left by the Tories. 

A 16-bed in-patient rehabilitation ward and urgent treatment centre were proposed for a new site in Consett, which was scheduled to replace the current facility in Shotley Bridge. Planning permission for the new hospital was received in March 2023 but work has not started 

Labour pledged to build the hospital in June but has now seemingly backtracked on its promise.