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The Government has said that it is focusing its transport policy on contributing to economic growth and carbon reduction targets while reducing the fiscal deficit. Economic rebalancing—including reducing the "north-south divide"—is a primary objective. At the same time the Government has distanced itself from the last major study of transport and the economy—the 2006 Eddington Transport Study—and rejected a number of its key recommendations, particularly on road pricing, airport capacity and high speed rail.
The Government has not provided an assessment of the implications of its decisions; nor explained how its investments will deliver the growth and rebalancing that it is seeking. Transport investment can enable and stimulate economic growth but it does not guarantee it. Transport investment intended to stimulate growth needs to be closely linked to a proactive approach to economic development.
The Government has swept away the regional tier of planning and institutions, to be replaced by Local Enterprise Partnerships and other arrangements. Most of these are at the early stages of formation, or yet to be established. With regard to transport functions, these may not be in place until the end of this Parliament.
We call on the Government to:
- publish a White Paper on transport and the economy, clarifying the nature of the economic solutions that it is seeking to deliver through transport spending and how the schemes that it is supporting will achieve these aims;
- ensure that transport investment and economic development are properly integrated;
- provide greater transparency in the appraisal and decision-making process with regard to new schemes, and
- ensure that the institutions and arrangements required to plan and prioritise sub-national transport schemes are developed and made effective as soon as possible.
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