Investment in transport improvement welcomed

The flagship Midlands Rail Hub plans have been awarded £20 million, taking the £2 billion package of improvements to rail services to the next stage of development, and closer to delivery.

The proposals include 24 extra train services every hour on commuter and inter-regional services between towns and cities

The £20m investment means the rail hub can move to the next stage of development – an outline business case, which will include detailed design, planning and costings.

Some of the proposed improvements could start to be delivered during this parliament (from 2024), including the reopening of platform 4 at Birmingham Snow Hill station.

The Budget also committed funding to several road projects championed by Midlands Connect.

Midlands Connect chairman Sir John Peace said: "This funding pledge is a firm vote of confidence from the Government that it is committed to delivering the Midlands Rail Hub, an investment that will spearhead an infrastructure revolution and level up the economy.

Midlands Connect director Maria Machancoses said: "We will also continue to make the case to government for funding to develop the other six schemes in the wider Midlands Engine Rail programme, a £3.5 billion series of upgrades which maximises the benefits of HS2 and includes plans to enhance UK-wide rail connectivity to Coventry and Birmingham Airport, and improvements to the Derby-Stoke-Crewe and Birmingham-Shrewsbury rail corridors."

The Budget failed to provide support for larger companies, according to the head of manufacturing at accountancy firm Crowe.

Johnathan Dudley, based at the firm’s Midlands office in Oldbury, said that measures to support small and medium-sized firms were welcome. “Companies with more than 250 employees, are the ones that many SMEs rely on – they are their customers. If large companies are hit by coronavirus, losing up to 20 per cent of their staff, they may have to shut down production systems., not least for health and safety reasons as for pure numbers required to undertake the work." If a major plant had to shut down for two weeks, the impact would ripple down the SME supply chain very quickly. The Chancellor may have to review his support for business in the light of further developments and this is one area we would urge him to consider.”

Rob Gunn, tax partner at Crowe said the Budget was very much focused on what was required today and, secondly the economy in the future.

Paul Weston, regional head of Prologis UK, said the £400 million fund for brownfield redevelopment is a step in the right direction for the UK and the West Midlands.

“Particularly in the logistics sector, unlocking the potential of former industrial sites, close to urban centres, is crucial in ensuring that businesses can move goods effectively and customers receive their deliveries as quickly as possible.

“Name-checking Andy Street in the announcement highlights the progressive attitude the West Midlands – and that of its Mayor – has to logistics and industrial development. Its success can be seen just from looking at the number of large national and international businesses which have logistics operations in the region. This fund will help ensure that success continues.”

Stoke-on-Trent and Staffordshire Local Enterprise Partnership chairman Alun Rogers said: “We welcome the commitments set out in today’s Budget for major investment in both digital and transport infrastructure in addition to housing which all chime with our local industrial strategy as it moves into its delivery stage.

“While limited, the proposed local growth funds extension is good news. Our board will continue to work hard for more investment against the economic priorities of our business community.

“I am particularly pleased to see government recognition and commitment to the work of our excellent Business Growth Hub which provides advice and support to businesses on a range of current business needs."