Businesses today warned the government not to repeat the mistakes of old after shelving major road improvement schemes worth more than £71 million.

There are fears that roads will not get the level of support needed to boost the economy after projects like Walsall Council’s bid for £35m to upgrade Bentley Mill Way and Bentley Road South have been stalled.

The upgrade to the area’s principal north-south routes included new bridges, junction improvements, new access points, road widening and resurfacing.

But it is now subject to a review according to transport secretary Philip Hammond. Also under review is Staffordshire County Council’s proposal for a £36m western bypass – which aims to reduce traffic and cater for up to 4,000 new homes which could be built.

Both local authorities have been sent back to the drawing board to submit fresh plans by January 2011 to bid for a slice of a new £600m government cash pot.

But Transport Secretary Philip Hammond warned: “This will not be enough to fund all of the schemes proposed by local authorities.”

Plans for a £70m extension of the M6 Toll Road to link with the M54 have been effectively scrapped.

And a multi-million pound scheme to open the hard shoulder during peak times on the M6 between Junctions 10a, Wolverhampton, to 13, Stafford, faces a similar fate.

But a £202m scheme to use the hard shoulder on the M6 between junctions five for Castle Bromwich and eight for the M5 has been approved.

Colin Leighfield, chairman of the transport policy group at the Black Country Chamber of Commerce, said: “While we understand the reasons behind the decision not to proceed with the M54 and M6 toll link at this stage we do not want this government to continue with the mistakes of the previous government which did not invest enough in roads.”

By London reporter Sunita Patel