BCC calls for spending on transport schemes

A report by the British Chambers of Commerce (BCC) said investment in thirteen regional and national transport projects over the next five years would earn the UK economic benefits worth 85bn.

The BCC, which canvassed views from businesses across the UK, listed the works that firms believed were "essential to the future success and growth of their regional economies".

It said the projects - which include London's Crossrail train link, road improvements across the country and a third runway at Heathrow airport - along with high-speed rail developments should be delivered within the next decade, with guaranteed funding.

David Frost, BCC director general, said: "Transport infrastructure cuts must not become a politically convenient way to slash spending after an election, especially when there are huge savings to be made in far larger budgets, including health, education and welfare.

"A government focused on the UK's future economic success must do everything it can to protect investment in priority transport projects."

He said the works would help boost economic growth as well as aiding the struggling construction sector.

"Public resources are constrained, of course we understand that, but cutting or scrapping plans for regional transport improvements means fewer jobs, and ultimately fewer businesses driving recovery," he added.

The BCC put the total cost of building the projects at 29.8bn - 3.1bn per year over five years from the public purse combined with a 14.3bn injection from the private sector.

The improvements include a replacement for the Forth road bridge in Scotland, a relief road on the M4 in Wales to ease congestion between Newport and Cardiff, expanding rail capacity in central Manchester and upgrading track on the East Coast Mainline, particularly in London, Peterborough and Doncaster.

David Begg, chairman of the Business Infrastructure Commission, said: "It is absolutely right to be calling for continued investment in the UK's transport infrastructure.

"Improving our regional transport links goes hand in hand with economic growth and job creation."

Transport Secretary Lord Adonis welcomed the report and said: "Even in tough economic times, we must continue to invest in vital transport infrastructure which benefits jobs, business, our economy and environment."

He added: "The Government has continued to invest in Britain's future and strongly supports major projects like Crossrail, Thameslink, a third runway at Heathrow and rail electrification.

"We're also determined to catch up with the rest of the world by developing plans for high-speed rail and I welcome Network Rail's initial plans for a proposed Manchester Hub to improve rail capacity.

"We're also investing in improving our motorways and major trunk roads and are continuing to develop road schemes announced last January."