Labour revives Northern Powerhouse Rail project with pledge of £45bn funds

The Guardian - World NewsCenter-LeftEN 4 min read 100% complete by Gwyn Topham and Josh HallidayJanuary 13, 2026 at 11:30 PM

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The Labour government has pledged up to £45 billion to revive the Northern Powerhouse Rail (NPR) project, aiming to improve rail connections across northern England. The plan involves a three-stage approach, starting with upgrading existing TransPennine links and eventually creating a new line connecting Liverpool and Manchester. Further improvements will connect Manchester, Leeds, Bradford, Sheffield, and York. Construction is expected to begin in the 2030s and last until at least 2045, with a potential Birmingham-Manchester line following. While the government intends to fund the project, local authorities may need to contribute financially, and the Treasury has capped spending at £45 billion to prevent overspending. The investment aims to address years of underinvestment and improve transport links for residents and businesses in the north.

Key Entities & Roles

Key Player Opposition Context

London 40% Bradford ×250% Liverpool ×250% Newcastle 50% Treasury 50% Birmingham ×350% Keir Starmer 60% England 60% HS2 ×370% Labour Party 70% Manchester ×570% Northern Powerhouse Rail (NPR) ×590%

Keywords

northern powerhouse rail 100% rail infrastructure 80% transport investment 70% regional development 60% government funding 60% local funding 50% hs2 50% transpennine 40%