Northern Powerhouse Rail: £45bn Overhaul to Transform Northern Transport
£45bn Northern Rail Overhaul Unveiled After Years of Delay

The Government has pledged to end decades of broken promises to the North of England with the detailed unveiling of its transformative Northern Powerhouse Rail (NPR) project. This long-delayed scheme represents the biggest overhaul of the region's rail network in a generation, backed by a funding cap of £45 billion.

A New Era for Northern Connectivity

After years of chronic underinvestment, passengers suffering from unreliable, overcrowded, and expensive services are set to see a radical transformation. Prime Minister Keir Starmer stated that northern communities had been "let down by broken promises" for too long, vowing that "this cycle has to end." The Treasury announced an initial £1.1 billion for development and design work to create a full delivery plan with timings.

The comprehensive plan includes new rail lines to and from Manchester and major upgrades to infrastructure in West Yorkshire. Crucially, ministers have promised a new Birmingham-to-Manchester rail link, though the Treasury insists it will not be a simple reinstatement of the HS2 leg scrapped by the previous administration.

Phased Rollout and Key Routes

The programme will be delivered in three distinct phases, designed to spread benefits and manage complexity. The first phase, targeted for the 2030s, will focus on improving connections using existing lines where possible to avoid major land purchases. Key initial upgrades will be on routes between Sheffield and Leeds, Leeds and York, and Leeds and Bradford.

The second phase will construct a new route between Liverpool and Manchester via Manchester Airport and Warrington, using a mix of new and existing tracks. The third and final phase will enhance eastward connections from Manchester to Leeds, Bradford, Sheffield, and York. The plan also includes funding for a new station in Bradford and will extend regular services to Newcastle and Chester for North Wales connections.

Chancellor Rachel Reeves, who will outline the strategy further in a speech, said: "If economic growth is the challenge, investment and renewal is the solution. That’s why we’re reversing years of chronic underinvestment in the North." The NPR is the centrepiece of a wider Northern Growth Strategy due in spring, aiming to deliver better jobs, homes, and investment.

Addressing a Legacy of Failure

The announcement comes against a backdrop of abysmal rail performance in the North. Government analysis highlights stark inequalities, with northern rail connections lagging far behind the south. For instance, the 29-mile journey from Liverpool to Manchester Airport currently takes one hour and 25 minutes with 21 stops and just one service per hour.

Reliability hit a record low last year, with over one in 25 trains cancelled. In 2024 alone, nearly 7,000 trains were cancelled due to flooding, causing 130 days' worth of delays. Commuters have long complained of paying the most expensive fares in Europe for a substandard service.

Ministers believe unlocking the North's potential is critical for national growth, describing the region as an "untapped gold reserve." Estimates suggest lifting productivity in the North to the national average could inject up to £40 billion a year into the British economy.

The plan has been warmly welcomed by Northern leaders. Andy Burnham, Mayor of Greater Manchester, said: "Finally, we have a Government with an ambitious vision for the North." Steve Rotheram, Mayor of the Liverpool City Region, called it "the start of a new era" after "more than a decade of dither, delay and broken promises." Transport Secretary Heidi Alexander added that the project would "unlock jobs, homes and opportunities" the region needs and deserves.