East West Rail: £2.5billion funding confirmed by chancellor - but concerns over Bedford route remain

Rail construction (Picture: East West Rail)placeholder image
Rail construction (Picture: East West Rail)
Chancellor Rachel Reeves has confirmed £2.5billion in funding for the next phase of East West rail in her first Spending Review.

But concerns are still being raised over the planned route and demolition of Bedford homes to make way for it.

The review on June 11 also included £39bn for social and affordable housing, a boost in defence spending, an end to "costly" asylum hotels by 2029, and an extension of the £3 bus fare cap in England to 2027. A rise to NHS funding by three per cent a year has also been welcomed.

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East West Rail says the money isn't 'new' or 'additional' funding – but is the latest “downpayment” for the next tranche of funding.

Protests signs against the homes threatened by East West Railplaceholder image
Protests signs against the homes threatened by East West Rail

The overall project budget is around £6bn.

Labour Bedford and Kempston MP Mohammad Yasin said: "This is an exciting moment for investment in our region — from Universal’s arrival to the broader growth of the Oxford-Cambridge corridor.

"The Government has shown bold, long-term commitment by investing a further £2.5 billion in East West Rail, and I’ve consistently supported the kind of infrastructure that underpins sustainable growth.

"However, I remain firmly of the view that the demolition of homes in my constituency is not necessary to deliver this project. I will continue to make that case strongly on behalf of affected residents.”

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Mayor Tom Wootton (Conservative), said the announcement was “deeply concerning for Bedford borough”.

He added: “Investment in infrastructure is welcome, but not at any cost. Route E is the wrong route. It threatens to demolish homes, divide communities, and carve up swathes of Bedfordshire countryside, while better alternatives have been ignored.

“This is not investment, it is imposition. The government has chosen to throw billions at a plan that fails basic tests of transparency, public engagement, and sound planning. Residents deserve answers, not bulldozers.

“In my opinion more affordable and better route are possible, ones that connect the region without destroying it. I am calling on the government and East West Rail to pause, review the business case, and put local voices at the centre of the decision-making process.

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“This is a fight for fairness and I will continue to defend the people and places of Bedford borough.”

Richard Fuller, North Beds MP (Conservative), said: “On a day where the government was talking about levelling up, it’s ironic that they confirmed £2.5bn for a railway in Bedfordshire that many people don’t want while spending only £445m on railways in the whole country of Wales. These are wrong priorities and hardly an efficient use of public money.

“At least they have stopped pretending that East West Rail is anything other than a housing project. I warned in the general election campaign that East West Rail is really a housing project which will concrete over our countryside and will further increase pressure on local services which are struggling to keep up with a rate of housing growth that is already two and a half times the national average.”

Dunstable and Leighton Buzzard MP (Labour) welcomed the news, calling EWR "a key project on the doorstep reducing journey times and connecting people to more jobs and opportunities".

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The Bedford for a Re-Consulted Alignment (BFARe) campaign group said that while it welcomes fresh investment in national infrastructure, the announcement lacks the necessary detail and assurances for affected communities across Bedfordshire.

A spokesperson said: “It tells us little about whether the government is listening to the widespread local concerns about the destructive northern alignment chosen between Bedford and Cambridge with its additional price tag of one billion pounds above any alternative passing to the south of Bedford via a parkway station.

“BFARe represents thousands of residents from nine parishes who have consistently opposed the existing “Route E” alignment due to its environmental impact, risk to homes, incompatibility with local planning strategies and vast additional cost. Campaigners say the route through North Bedford will require the demolition of dozens of homes, extensive six-tracking through residential areas, and irreversible damage to valued green spaces.

“We support the principle of East West Rail. We want to see better transport connectivity across our region. But funding alone is not a substitute for fair process, sound planning, or meaningful local engagement."

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Natalie Wheble, external affairs director, East West Railway Company, said: “East West Rail will transform connectivity across the region and improve access to jobs, housing, education and healthcare. We are delighted that the Chancellor has reaffirmed the Government’s support for East West Rail by announcing the latest funding allocation for the project. The new railway, combined with our plans to redevelop Bedford station, will mean Bedford will become a key interchange and will help drive significant regeneration in the town centre.”

Blake Stephenson MP has been approached for comment.

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