Electrification of the London-Swansea rail route could deliver a £120m boost every year to the regional economy, the South West RDA claims.
Research available to the RDA shows that business productivity falls the further from London you are. Shorter journey times between the capital and Bristol, therefore, could see productivity improve by over 1 per cent per year, potentially adding £120m to the surrounding economy.
Confirmation of the £1bn electrification project – work on which will begin immediately – follows extensive lobbying by the RDA and its partners to the Government of the potential benefits of the project. Evidence collected by the South West RDA has shown that rail is particularly important for maintaining connections to and from major economic markets within and without the region and in supporting the growth of the South West’s urban areas. Swindon, Bristol and Bath, through which the line passes, are major contributors to the success of the South West economy. The electrification of the line also sits with the RDA’s ambitions to move towards a low carbon economy, which were given a major boost last week with the region’s designation as the UK’s first low carbon economic area.
The research comes a day after ministers formally responded to the South West’s Regional Funding Advice (RFA), where regional partners come together to advise the Government on spending priorities for the region on transport, housing, skills and broader economic development.
Ministers recognised the region’s commitment to public transport solutions, and made available up to £2.8bn to deliver a range of prioritised transport infrastructure projects across the region.
These priorities have been negotiated and agreed by the South West RDA and the South West Strategic Leaders’ Board, acting on behalf of South West Councils.
In their RFA response, ministers also praised the South West partners’ ongoing work to develop joint approaches to tackling the region’s key challenges – sustainable development, transport, economic prosperity, successful places and businesses.
They also acknowledge the region’s leading position in delivering the low carbon economy agenda, including welcoming further exploration of two major energy pilots for the region.
South West RDA chairman Sir Harry Studholme said: “The government’s positive response to our Regional Funding Advice is welcome and encouraging, especially as they readily acknowledge the growing working relationship between regional partners. The Strategic Leaders’ Board – on behalf of South West Councils – the South West RDA and other partners have worked hard to develop common cause on these issues so it is good to see this helping to further our case in Westminster and Whitehall.
“I am particularly pleased that the region will now be able to make further significant progress with many of its transport priorities.
“These have emerged through discussion and negotiation across the region, and many South West communities and businesses now stand to benefit from an improved sustainable transport infrastructure in the years ahead.”
Cllr Angus Campbell, chairman of the Strategic Leaders’ Board said: “We are pleased that Government has recognised that the South West has worked effectively together to develop the priorities for Regional Funding Advice and engaged partners widely.
“It has also been acknowledged that our advice was prepared against a background of tough economic challenges. The current climate makes it even more vital that we make the best use of public finances.
“The Strategic Leaders’ Board has worked closely with the South West RDA and other key partners to give Government a clear picture of what is needed in the region. The challenges we face do not always fit within administrative boundaries. Councils increasingly recognise the benefits of working together and with partners to tackle difficult issues and improve the lives of people in the South West. The Regional Funding Advice is a good example of this.”
