North set to become first region in country to get new transport powers from government

• Unique new powers for Transport for the North (TfN) in pioneering legislation.
• TfN to have an unprecedented access to transport investment decision-making across the region.
• Government awards TfN £18.5million to introduce smart ticketing next year.

New legal powers to give the North an unprecedented say on how money is spent on transport were announced today (Thursday November 16) by Transport Minister Jesse Norman. 

Pioneering legislation to transform Transport for the North (TfN) into the first ever statutory Sub-national Transport Body – with legal powers and duties – were laid in Parliament, underlining the government's commitment to the Northern Powerhouse.

TfN - backed with up to £260m of government funding - will transform transport across the North of England, providing the infrastructure needed to drive economic growth and create jobs and boost skills. The move to put TfN on a statutory footing means that its recommendations must be formally considered by the Government.

The Department for Transport also today confirmed the award of £18.5m from a £150m government fund for TfN’s smart ticketing programme. TfN will use this to introduce paperless, smart card season tickets for Northern and TransPennine Express and Merseyrail passengers by the end of 2018.

The remaining funding is available for proposals to extend smart ticketing across public transport in the North, giving passengers more flexibility and a better integrated travel experience, including the ability to renew tickets online, fewer queues at stations and faster journeys through ticket barriers. 

Transport Minister Jesse Norman said:

“We are committed to the Northern Powerhouse, and to giving the great towns and cities of the North more say over transport investment through their umbrella body Transport for the North.

“This Government is investing the most cash for a generation in transport projects for the North.

“These new powers will give Transport for the North far greater influence over national infrastructure decisions, as well the certainty they need to plan and drive forward projects such as Northern Powerhouse Rail and smart ticketing.”

Jake Berry, Northern Powerhouse Minister, said:

“We are investing a record £13 billion in transport in the North of England - more than any Government in history.

“As part of this, Transport for the North will be a game-changer, with powers to speak with one voice on northern transport projects and drive forward ambitious plans to improve transport connections and unlock economic growth across the Northern Powerhouse.” 

John Cridland, Independent Chair of Transport for the North, said:

“Transport for the North gaining statutory status is an important step towards transforming the North of England and giving it the voice and powers it needs to move forward. To have the Statutory Instrument laid before Parliament is a tremendous achievement, having secured the support of 56 Local Authorities including all 19 of our constituent authorities. We look forward to continuing to work closely with our partners to transform the region’s infrastructure and grow the UK economy.

“Becoming a Sub-national Transport Body means that the Secretary of State of the day will take into account the North’s priorities when making transport infrastructure investment. These priorities will be developed collaboratively and we are currently working with our partners to finalise the draft Strategic Transport Plan, which will be published for public consultation early next year. This is a 30-year transport strategy for the North that will help drive economic growth in the region and help to rebalance the UK economy - statutory status will ensure this plan is considered as a formal statutory document that can provide a solid, evidenced-based framework for transport investment in the North over the coming decades.”  

As part of the Government’s devolution agenda, the North has been given real autonomy to run transport through bodies like Transport for Greater Manchester (TFGM) / Tyne and Wear Passenger Transport Executive (Nexus) in large urban areas. Local authorities, mayors and combined authorities already have responsibility for running transport in rural areas, town and cities and will continue to do so. The Government is now giving TfN powers to set the strategic direction for transport in the North through its statutory transport strategy. In addition TfN, should its members agree, is able to request additional powers for consideration by the Transport Secretary. 

The move means that from April, TfN will get new powers to: 

• Produce a statutory transport strategy for the north which the Government must formally consider when taking funding decisions; 
• Fund organisations to deliver transport projects, for example, this could include transport operators delivering smart ticketing in the North;
• Work with local authorities to fund, promote and deliver road schemes - and be consulted on rail franchises in the North; and
• Take forward smart ticketing to bring in faster, easier rail travel.

Rail North, an association of local authorities – including all the TfN members and Staffordshire, Nottinghamshire, Derbyshire, Lincolnshire, Nottingham and Stoke-on-Trent, will also formally become part of TfN and work with Government to co-manage the Northern and Transpennine Express rail franchises.

After being approved in Parliament, the legislation will be made into law by the end of the year or shortly afterwards depending on legislative time. TfN will become a statutory body on April 1 2018.  

TfN is a partnership of 19 local authorities, business leaders and 11 Local Enterprise Partnership areas from across the North. It will help determine the top priorities for transport in the area and work with government to ensure these are taken into account in decisions made by the Transport Secretary.

The government has confirmed £150m is available to TfN for smart ticketing, £60m for Northern Powerhouse Rail and £50m to run TfN, a total of up to £260m.

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Notes to editors:

• By putting this legislation into Parliament, the Government is putting Transport for the North (TfN) on a formal, legal status - making the North the first area in England with statutory influence over strategic transport investment decisions.
• This is the first Sub-national Transport Body (STB). Secondary legislation is also expected to be brought forward for other STBs, namely Midlands Connect, England’s Economic Heartland and Transport for the South East. 

• ·         Transport for London (TfL) is a fundamentally different organisation to TfN. TfL has an operational role and runs the entire transport system in London, with the Mayor elected to oversee this.

• TfL is not a STB but an executive body of the Greater London Authority. It was formed as part of the GLA Act in 1999, before the STB legislation was passed in 2016.

• ·         TfN is being granted some local authority powers but they will work closely with local authorities at the same time. Local authorities, Mayors and combined authorities already have responsibility for running transport in rural areas, town and cities and will continue to do so.

• TfN will determine the North’s objectives by developing a statutory transport strategy that sets out the strategic transport infrastructure needed to boost growth and development in the North. They will then work with the DfT and agencies to ensure these objectives are incorporated into national prioritisation decisions.
• The Secretary of State, in making national transport decisions, must have regard to TfN’s statutory transport strategy.
• By setting up TfN and backing the election of metro mayors, the Government has given the region greater autonomy and control, and a powerful voice to articulate the case for new transport projects.