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Local transport plan misses opportunity for economic growth

20 Jan 11 Government plans for extra funding for local transport will do nothing to help grow the economy, civil engineering contractors say.

The government’s white paper Creating Growth, Cutting Carbon sets out plans to get people out of their cars and onto public transport or onto bicycles, or just walking. A £560m fund has been earmarked for the Local Sustainable Transport Fund.

Transport minister Norman Baker said: “A good transport system is vital in our efforts to deliver two key government priorities: to help grow the economy and to reduce carbon emissions. Investment in local sustainable transport can deliver quick gains with both objectives, which is why, even in these difficult financial times, we are providing an unprecedented £560m to take this agenda forward.

"We are clear you can have your green cake and eat it. Money invested wisely in local transport initiatives can both help the economy and cut carbon. It’s a win-win for local people and for the country as a whole.

“I look forward to working with local authorities and others as we take on this challenge and believe together we can make genuinely sustainable transport a reality for everyone.”

Measures to be supported by the fund include new smart or e-ticketing schemes for public transport and simplifying the regulations for introducing new road signs. Some £11m will be spent on teaching 10-11 year olds how to cycle on the roads.

However, the Civil Engineering Contractors Association (CECA) questioned the extent to which the proposals would help promote economic growth.

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CECA national director Rosemary Beales said: “The coalition government has said that its first priority must be to return the UK’s economy to growth. The local transport white paper looks at the contribution that local transport provision can make to achieve economic growth.

“There are major opportunities at the local level to tackle blackspots and increase capacity. But the white paper seems to be focused on non-infrastructure related investment.

“The Local Sustainable Transport fund offers huge potential to deliver significant improvements to our transport system. With £560m to spend, it is vital that the funding targets those projects that will have the greatest contribution to growth. We believe that such lasting returns on investment will most likely be found through targeted investment to upgrade and improve the physical infrastructure of our local transport system.

The white paper Creating Growth, Cutting Carbon is available at http://www.dft.gov.uk/pgr/regional/sustainabletransport/

The Local Sustainable Transport Fund guidance is available at http://www.dft.gov.uk/pgr/regional/transportfund/

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