Tory rail projects in York and Sheffield at risk over £22bn funding black hole

The decision, which is set to save about £85m, came as part of cuts unveiled on July 29 to fill a £22bn “black hole” in Government budgets.

As well as affecting a new station in Haxby, on the outskirts of York, the Barrow Hill Line, from Sheffield to Chesterfield, is also in doubt.

The previous government pledged to reopen the route to passengers, after it had been used as a freight-only line for the last six decades.

The Yorkshire Post has asked the Department for Transport for more details about the future of both projects.

In the case of Haxby, York Council was still awaiting further information from the Government as this paper went to press.

Labour Council Deputy Leader Coun Pete Kilbane said he would continue to advocate for the scheme, though the decision to axe the Restoring Your Railways fund was hugely disappointing.

He said: “We know what it’s like to enter office and find a financial black hole that needs addressing.

"Ignoring this is simply not an option and unfortunately will have an impact on communities across the country."

But Liberal Democrat Haxby and Wiggington ward's Coun Andrew Hollyer said scrapping the funding was a betrayal of those who had spent years campaigning for a station.

He said: "For the Government to spend years dangling the station in front of the residents of the northern villages in York only to take it away at the last moment is disgusting.

"The planning application was due to be determined soon, and residents were promised an opening date next year – the Government needs to U-turn immediately."

Ms Reeves said any projects funded by Restoring Your Railways which had not already commenced would not go ahead.

Network Rail had lodged a planning application for Haxby Station which was awaiting a decision.

The town has been without a railway station since one closed in 1930.

The new Labour MP for York Outer, Luke Charters, told The Yorkshire Post: “I’m angry about what the Conservatives have left. So many of the projects did not have the funding allocated to them. People need to see that Yorkshire value of being open, honest and direct – that’s my style.

“We’ve had that difficult conversation, we’ve exposed the black hole and we’ve been brutally direct with people about the state of the public finances.”

Nina Smith, Yorkshire chair of the Rail Future campaign group, said scrapping the fund was short-sighted.

The chair said: "It will impact on the urgent need to shift from road to rail to reduce carbon emissions, improve air quality and connectivity for communities.

"It makes us question the Government's commitment to net zero targets and its support for public transport."

York Council's spokesperson said: "In recent months the Haxby Station project has made significant progress with a planning application being submitted which is expected to be considered in the coming months."​​​​​​