The Government has today pledged billions of pounds in funding to North West transport projects – including a Metrolink line to Stockport and new routes from Liverpool city centre to Liverpool and Everton's stadiums

Chancellor Rachel Reeves is today set to announce a £15.6 billion transport package for mayoral authorities across England, ahead of next week's spending review.

Greater Manchester is set to receive £2.5 billion for projects including the long-awaited extension of the tram network to Stockport and new tram stops in Bury, Manchester and Oldham.

Meanwhile Liverpool city region is set for a £1.6bn boost, including three new bus rapid transit routes to Liverpool John Lennon Airport, Everton’s new Hill Dickinson Stadium, and Anfield stadium.

Meanwhile, it is also being reported this week that the Government will at next week’s spending review commit between Liverpool and Manchester. The plans have been backed by the region’s two metro mayors.

In a speech in Greater Manchester today, Ms Reeves is expected to say that “a Britain that is better off cannot rely on a handful of places forging ahead of the rest of the country,” and that a “result of such thinking has been growth created in too few places, felt by too few people and wide gaps between regions, and between our cities and towns.” She will say the spending review next week will take different choices, with investment in a “new economic model – driven by investment in all parts of the country, not just a few.”

As well as the Metrolink investments, the funding in Greater Manchester will be used to back the rollout of 1,000 new electric buses as part of plans to make the Bee Network fully electric.

Andy Burnham, Mayor of Greater Manchester, said:“This is a game-changing moment that will underpin Greater Manchester’s green growth for years to come. Building on our strong track record, we can now move at pace to deliver the next phase of the Bee Network – creating the Ƶ’s first fully electric, zero emission integrated public transport system by 2030.

“With a pipeline of major transport projects better connecting our towns and cities, and local rail lines brought into the Bee Network, our communities will be the first outside London to be served by fully joined-up bike, bus, tram and train travel.

“Greater Manchester has had a decade of growth faster than the Ƶ average. This funding – together with our devolved decision-making powers – can be the key to unlocking even more growth in the decade to come. It’s a major boost for our own plans to deliver £10bn of investment over the next 10 years, build thousands of new homes, create skilled jobs, and open up new opportunities right across our city-region.”

In Liverpool city region, the transport funding will be used to create a rapid transit system providing dedicated routes to the city’s airport and football stadiums using new “glider” vehicles. The vehicles, previewed last summer, look like trams but are designed to run on roads.

Steve Rotheram, Mayor of the Liverpool City Region, with the Glider Future Rapid Transit
Steve Rotheram, Mayor of the Liverpool City Region, with the prototype Glider vehicle last year

The funding will also be used to fund a new fleet of buses as part of the region's soon-to-be franchised bus network. Those buses will roll out in St Helens and Wirral in 2026 and then in Sefton, Knowsley, and Liverpool in 2027.

Steve Rotheram, Mayor of the Liverpool City Region, said: “This is a massive vote of confidence in our region, and shows what’s possible when national and local government pull in the same direction.

"With £1.6bn coming our way, we can get on with building the kind of transport network people here deserve: new train stations, a rapid transit system, and a bus service run for people, not profit.

"It’s not just about better connections; good transport is a real engine of growth. It helps people get to work, supports new homes and businesses, and builds the foundations of a fairer, more productive economy. With a Chancellor who’s willing to back our ambition, we’ve now got the funding to make it happen.”

Chris Fletcher, policy director at Greater Manchester Chamber of Commerce, welcomed today’s news but said more investment was still needed.

He said: “Today's announcement on key local infrastructure projects and the recognition that investment needs realignment across the country is a positive step forward. For too long, too many locations critical to the success of the Ƶ economy, have struggled due to transport networks that fail to support sustainable growth. What we see today marks the beginning of correcting years of under-investment.

“However, more work remains—especially in connecting major economic hubs across the country, particularly cities in the north. That’s why it is crucial to ensure that new projects, such as the Liverpool-Manchester Railway, feature prominently in future funding decisions. This government has ambitious growth plans, and by supporting projects like this, communities will witness real progress, businesses will gain confidence to invest, and economic expansion will follow.

“Today is a strong starting point, but the real challenge is ensuring the government sees the job through to completion.”