The Department for Transport (DfT) is set to appear in the High Court over its efforts to acquire land for a new rail link between Liverpool and Manchester, part of the Northern Powerhouse Rail project.
Background of the dispute
The government has been negotiating with landowners to secure land for the route, announced in January. One key site is Thelwall Heys, southeast of Warrington, where developers planned to build hundreds of homes. Lawyers for developers Bridgemere Group and Castle Green Homes claim the government discussed a £60 million purchase of the land for the rail link.
Transport Secretary Heidi Alexander blocked Warrington Borough Council’s power to grant planning permission for the site, a move described as “unprecedented” by the developers’ legal team. The developers had submitted plans for 330 houses on the semi-rural land around the historic Thelwall Heys house and expected approval. However, on January 13, two days before a decision was expected, the Secretary of State issued a direction under Article 31 of the Town and Country Planning 2015, preventing the council from granting planning permission for six months. No reasons were given, and the Secretary of State reserved the right to extend the prohibition.
Developers' claims and court action
The developers claim they were contacted by the DfT in June 2025 regarding a possible government purchase of the site. They allege DfT officials considered “delay options” and discussed a deal that would have prevented development for 12 months, with the option for the Secretary of State to buy the land for £60 million.
Despite the direction, the council’s planning committee unanimously resolved to grant planning permission. The developers argue the Secretary of State’s decision was “irrational” and “unprecedented.” Lawyers for the Secretary of State countered that the claim was “totally without merit.”
Earlier this month, a judge granted the developers permission to appeal the decision at the High Court. A date for the hearing has not yet been set.
Government and developer responses
A Department for Transport spokesperson said: “Northern Powerhouse Rail is the biggest investment in rail connectivity in a generation and is set to add up to £40 billion a year to our economy. This Government is committed to taking NPR forward, applying lessons from HS2 by working in partnership with local leaders to bring rail across the North into the 21st century whilst delivering value for taxpayers. This is essential to unlock economic growth and create thousands of new jobs and homes across the region.”
A spokesperson for Bridgemere Group and Castle Green Homes said the firms “do not comment on ongoing legal proceedings.” Warrington Borough Council was approached for comment but did not respond.
The proposed Liverpool to Manchester rail link includes improvements to Liverpool Central and Lime Street stations, as well as new stations at Manchester Piccadilly and Warrington Bank Quay low-level. The government claims Northern Powerhouse Rail will help “unlock around £40 billion of economic potential” in the north of England.
