Partner Article

Bid to safeguard key transport links

THE North East Chamber of Commerce (NECC) has launched a fresh lobbying drive to safeguard vital transport infrastructure investment, with the spotlight falling firmly on the A19.

In an open letter to central Government, the NECC has outlined the economic benefit of upgrades to junctions both sides of the Tyne Tunnel - projected to be £1.3bn, a return ratio of roughly five times the project cost.

A19 improvements will also ease pressure on the A1 Western bypass which operates at 167% of capacity at peak times.

With a clear focus on pragmatism in the face of public spending cutbacks, NECC is seeking a firm commitment from the Department for Transport to invest in projects which demonstrate clear economic benefits such as this. It is also calling for the protection of investment which has already been allocated to projects in the region.

James Ramsbotham, Chief Executive of the North East Chamber of Commerce, said:

“The North East’s need for effective connections to support business recovery and growth are more important than ever in the current climate. We have presented a strong economic case for Government to safeguard existing projects and ring fence expenditure on strategically important transport infrastructure.

“The deficit challenge for this new Government is clear for all to see, and we understand it. Nevertheless, transport remains a critical issue for businesses in our region and with the election dust settling it’s time to get back on track, lobbying strongly to secure the initiatives we know will bring economic growth.”

In its letter to the Secretary of State for Transport, Phillip Hammond, NECC acknowledges the scale of the challenge facing Government departments to cut the deficit. But it also warns of the dangers of hampering economic growth by sidelining strategic transport improvements already earmarked for investment.

“Tackling the budget deficit has been rightly chosen as the Government’s number one priority, so we must play our part and be realistic and clear on key areas for investment,” added Mr Ramsbotham.

“But capacity improvements on key transport corridors are still necessary. They are the arteries of our economy and are under intense pressure from rising congestion. There are clearly projects, in particular the scheduled upgrades to the A19 junctions, which will substantially contribute to the region’s economic growth. These should not be sidelined or delayed.

“Cuts or postponements in transport initiatives would have a negative impact on North East business. Standing still is not an option and we are calling on Government to make concrete, timely commitments to our identified priorities.”

NECC is also asking Government to allow the region to carry over any underspend from its 2009/10 Regional Funding Allocation. In addition, it has requested that the current spending review is carried out as quickly as possible to identify how investment is going to be distributed and to put an end to uncertainty in the private sector. There is some recognition that local projects which do not bring strategic economic benefit may have to be placed on hold.

NECC will be requesting meetings with senior DfT figures to present the region’s case and will be briefing all North East MPs and key figures in central Government.

This was posted in Bdaily's Members' News section by Ruth Mitchell .