Chancellor Rishi Sunak promises 'historic' infrastructure investment in Budget

The Treasury said hundreds of billions of pounds will be pledged to invest in infrastructure including roads, railways, broadband and housing.

However, the Government has faced criticism for delaying its key National Infrastructure Strategy to tackle the climate crisis and boost transport connectivity.

Meanwhile, analysts were keeping a watchful eye on whether the Chancellor sticks to the Tories’ fiscal rules as he seeks to shepherd the UK through the coronavirus outbreak.

And northern leaders will be watching with interest to see if the Richmond MP delivers on the Prime Minister’s promise to ‘level up’ the country after December’s General Election victory.

The Treasury said last night that the Chancellor would triple the average net investment seen over the past 40 years, taking it to the highest levels in real terms since 1955.

Speaking on the eve of his first Budget, Mr Sunak pledged that “no region will be left behind” when he unveils the financial plan. “We have listened and will now deliver on our promise to level up the UK, ensuring everyone has the same chances and opportunities in life, wherever they live,” he added.

“By investing historic amounts in British innovation and world-class infrastructure, we will rebalance opportunities and lay the foundations for a decade of growth for everybody.”

The incoming investment was said to be shaped by the findings of a review by the ‘Green Book’, the manual used by Ministers to make investment decisions across the country.

Shadow chancellor John McDonnell accused the Treasury of embellishing figures on partially fixing infrastructure he blamed the Tories for damaging.

“A stronger Chancellor would have had the Treasury prevent these exaggerated claims,” the Labour MP added.

“Mr Sunak is asking us to congratulate him for partially rebuilding what the Conservatives have destroyed over the last 10 years.”

It was unclear last night whether a devolution deal for West Yorkshire would be agreed following weeks of negotiations between local leaders and government officials.

The Yorkshire Post understands that negotiations continued into last night in the hope of finalising an agreement to be announced in the Budget.

Less than a month into the job, Mr Sunak will unveil his financial plan shortly amid fears over the impact of Covid-19 concerns on the economy.

He has not ruled out breaking the fiscal rules limiting taxation and spending set out in the Conservative manifesto as he seeks to guide the UK through the coronavirus instability.

The Tories pledged at the election that they would not borrow to fund day-to-day spending and would ensure debt drops in five years’ time.

Mr Sunak has faced calls to provide businesses with immediate support, particularly to those facing losses and payments to sick or self-isolating staff.

The Government had pledged to deliver its £100 billion National Infrastructure Strategy today, but that has now been delayed for a number of months.

But his first Budget is expected to include a £5 billion investment to roll out faster broadband across the UK by 2025.

A further £5 billion is expected to be made available in loans in order to boost post-Brexit exports.

A £2.5 billion drive to repair 50 million potholes over the next five years which is expected to feature has been branded a rehashed gimmick by Labour.