While her speech revolved around significant benefits for the South, it seems as if the Northeast is left out of the government’s plans once again. So far, there have been no investments in major infrastructure projects in the North that are on this scale. Ongoing uncertainty surrounding the Tyne Bridge restoration, the deteriorating flyover in Gateshead, and the A66 dualling scheme only reinforce the frustration among the Northeast, as high-profile developments remain focused on the South.
However, smaller-scale benefits may still arise from the manufacturing tied to such large-scale projects. Airport expansions can unlock new opportunities for international trade, tourism, and further investments. With Newcastle airport already having a daily link to Heathrow, it may still profit from its expansion. Furthermore, the new runway is expected to offer a service between Teesside airport and London, thus potentially providing a more global access.
The chancellor also proposed that Teesside may play a bigger role in manufacturing new and more sustainable aviation fuels that are needed for this expansion. This could create more highly skilled jobs in the Northeast, therefore encouraging further investment.
Nevertheless, it is unlikely these changes will significantly influence the performance gap between the South and England’s poorest region. Although, as Northern Powerhouse Partnership's Henri Murison stated: “As long as it is fully funded by private finance and isn’t a call on taxpayers, we across the North want London to get what it needs.”
The real issue seems to be the Treasury’s “green book” methodology, which prioritises projects based on immediate return on investment. As a result, the Treasury is arguably preferential to projects in London and the Southeast. In doing so, existing imbalances are only reinforced, creating a vicious cycle for the Northeast.
Nonetheless, there may be a reason for hope as the Treasury is set to review the “green book” guidelines since Northern MP’s have repeatedly remarked that it is “skewed against investments in the North of England.”
MP Rachel Reeves also told ITV about other key infrastructural investments, including upgrades to TransPennine routes, electrification of train lines in the North, as well as the development of a mass transit system in West Yorkshire.
As the government reviews its infrastructure priorities, the Northeast will be watching closely to see whether promises lead to action–or if the region is once again left waiting.