26 February 2026
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Northern Powerhouse Rail – What next?

To The Point
(3 min read)

As part of the Northern Growth Strategy, the Government has confirmed plans to take forward Northern Powerhouse Rail in three stages, with £1.1 billion made available for planning and design work. This short article explains what the various Northern Powerhouse Rail schemes entail and how rapid delivery can be ensured.

As part of the Northern Growth Strategy, the Government has confirmed plans to take forward Northern Powerhouse Rail in three stages, with £1.1 billion made available for planning and design work.  A funding cap of  up to £45 billion of Government funding has been set for the programme, although it is not clear how that figure has been derived.

The announced programme includes an electrification of lines form York to Sheffield via Leeds, the existing Transpennine Route Upgrade and service improvement from Leeds to Manchester and also new sections of railway line between Liverpool, Warrington, Manchester Airport and Manchester. The later in part will use the alignment the proposed HS2 Phase 2B scheme.  

Separately, in the North East, development work on the Leamside Line will also be taken forward. The Government also confirmed a long-term aim to see a full new north-south line from Birmingham to Manchester – to replicate the functionality of the cancelled HS2 Phase 2.  

Key to rapid delivery of the entire programme will to be identify very early on an entity with responsibility for delivery of the scheme(s), including to secure consents. That body must have the necessary authority to engage with third parties and do deals early on. Arguably, the hybrid Bill route has not shown itself to be the most speedy route to consents and allows too much scope for projects to be pulled of course, with unnecessary gold-plating. Use should be made of other existing consenting routes, building on improvements in the Planning and Infrastructure Act 2025. Government can assist by establishing a clear policy basis, including by conducting a review of the National Networks National Policy Statement. Opportunities to secure private sector funding, in the structuring and delivery of the schemes, as we identified in the Midlands North West Rail link study, should not be overlooked in their design and establishment.

Next steps

If you would like to discuss any topics raised in this article, please contact our Transport team.

To the Point 


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