Oral Answers to Questions Debate

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Department: HM Treasury

Oral Answers to Questions

Ruth Jones Excerpts
Tuesday 1st July 2025

(2 days, 7 hours ago)

Commons Chamber
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Rachel Reeves Portrait Rachel Reeves
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It was the hon. Member’s Government, when they were on this side of the House, who froze those allowances, taking more money out of the pockets of working people. Despite that, they left a £22 billion black hole in the public finances. I will take no lessons from Conservative party, which has opposed everything that is needed to invest in our public services. We are in the mess we are in because of the damage that it caused.

Ruth Jones Portrait Ruth Jones (Newport West and Islwyn) (Lab)
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4. What assessment she has made of the potential impact of planned increases in funding for transport infrastructure on economic growth.

Euan Stainbank Portrait Euan Stainbank (Falkirk) (Lab)
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22. What assessment she has made of the potential impact of planned increases in funding for transport infrastructure on economic growth.

Rachel Reeves Portrait The Chancellor of the Exchequer (Rachel Reeves)
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The Government recognise the critical contribution that transport makes to our growth mission. The Government increased the capital envelope by over £100 billion at the autumn Budget last year, and by a further £13 billion at the spring statement. Taken together, that represents a big increase in capital investment. As a result, the transport capital budget, excluding High Speed 2, will increase by 1.9% per year in real terms over the spending review period. That investment will improve connectivity in our towns, cities and villages, reduce journey times and increase transport reliability. For areas of transport that are devolved, it is up to the Scottish and Welsh Governments to allocate their funding and be accountable to their respective Parliaments for those decisions.

Ruth Jones Portrait Ruth Jones
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I welcome the announcement in the spending review that railway projects in Wales, including five new stations east of Cardiff, will receive an extra £445 million in funding over the next decade. Will the Chancellor provide more detail as to how the money will be specifically allocated and when work will begin?

Rachel Reeves Portrait Rachel Reeves
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It was a pleasure to be in Cardiff just after the spending review to look at the difference made by the investment that the Labour Government are putting into transport in Wales. The spending review and the infrastructure strategy recognised Wales’s long-term infrastructure needs and how they have been neglected for too long by the Tory party. We delivered at least £445 million for rail enhancements, which provides funding for continuing to develop and deliver the stations identified in the Burns review, including Newport West and Somerton. Plans for future rail investment in Wales will be made in close consultation with the Welsh Government and through engagement with the Wales Rail Board.