Dominic Browne Chris Ames 03 November 2023

Major road network set for £2.6bn second funding round

Major road network set for £2.6bn second funding round image
Image: norfolk.gov.uk

A promised £2.6bn for local road upgrades will be in the form of a second round of major road network (MRN) funding, it has emerged.

As part of the Government’s Network North announcement following the curtailment of HS2 last month, the Department for Transport (DfT) pledged a £1bn roads package in the North, a Midlands Road Fund worth nearly £650m, and a £1bn fund for new road schemes in southern England.

This was in addition to approximately £1.4bn to top up the Government's contribution to current schemes under the 2020-25 MRN and Large Local Majors (LLM) funding streams, from 85% to 100%, to help with cost rises.

The DfT said the £1bn for the North 'could support new schemes like the A1-A19 Hickleton Bypass in Doncaster' – a reference to what appear to be two separate local road schemes in the area.

At an industry event organised by Tarmac this week, senior DfT official Matt Eglinton said new funding totalling £4bn would include an ‘MRN2’ programme from 2025 onwards.

He added that the DfT will issue guidance on MRN2 eligibility and process next spring and clarify the position with uplifts to existing schemes ‘in due course’.

At this point, it is unclear if DfT has enough cash to pay for all the MRN and LLM schemes that it has approved, subject to final business case, under the current funding round - or if the MRN2 programme will include some of the current schemes for which insufficient cash is available.

In the meantime, the DfT will work closely on both with Sub-National Transport bodies, who were originally asked to submit bids for MRN/LLM schemes on behalf of highway authorities in their areas.

Both MRN and LLM schemes are currently funded through the 2020-25 National Roads Fund, which is nominally paid for by hypothecated Vehicle Excise Duty (VED).

As Highways has reported, the Treasury has declined to say whether VED hypothecation will continue after 2025.

This article first appeared on Highways.

SIGN UP
For your free daily news bulletin
Highways jobs

Targeted Early Help Practitioner

Wakefield Council
Grade 7 - Grade 8, 18.5 hours, Temporary
We are looking for an enthusiastic individual to work part of a multidisciplinary team to support the delivery of the Targeted Early Help Wakefield, West Yorkshire
Recuriter: Wakefield Council

Apprentice - Business & Administration

Essex County Council
Up to £14567.00 per annum
Apprentice - Business & AdministrationFixed Term, Full Time£14,567 per annumLocation
Recuriter: Essex County Council

Youth Worker (North/West)

Oxfordshire County Council
£31537 - £34434
About Us We believe in relationships that make a difference and creating the space for young people to feel seen, heard, and supported. If you’re passionate about supporting young people, this is where you belong. The Targeted Youth Support Service (TY Oxfordshire
Recuriter: Oxfordshire County Council

Engagement and Customer Support Officer

Derbyshire County Council
Grade 9 £32,347 - £34,317 per annum
Are you passionate about delivering exceptional customer service and creating engaging communications? Derbyshire
Recuriter: Derbyshire County Council

Engagement and Customer Support Manager

Derbyshire County Council
Grade 11 £39,865 - £43,270 per annum
Are you passionate about delivering outstanding customer service and building strong stakeholder relationships? Derbyshire
Recuriter: Derbyshire County Council
Linkedin Banner