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16 January 2026

Major update on Northern Powerhouse Rail and future Manchester–Birmingham route

Policy & GovernmentProjects & PeopleRailNews

The government has published an update on its Northern Powerhouse Rail (NPR) programme and confirmed its intention to develop a new rail line between Birmingham and Manchester.

The Treasury has clarified that this line will not be a reinstatement of the HS2 Phase 2b extension cancelled in 2023. Instead, the proposed Birmingham–Manchester route is planned to follow the completion of NPR as a separate long-term project.

With a total funding cap of £45 billion, the programme is expected to deliver:

  • A new Liverpool–Manchester route via Warrington and Manchester Airport

  • Improved Trans-Pennine links between Manchester, Leeds, Bradford, Sheffield and York

  • Faster and more frequent services across the North

  • Enhanced connections to Newcastle, Hull and North Wales

According to the government, benefits from Northern Powerhouse Rail are expected “from the 2030s.”

Transport Secretary Heidi Alexander said: "Northern Powerhouse Rail will deliver faster, more frequent services across the great cities of the North, unlocking jobs, homes and opportunities and creating a world-class growth corridor that the people of the region need and deserve."

Phased delivery of Northern Powerhouse Rail

Phase 1: Early Upgrades

  • Better rail links between Leeds, Sheffield, York and Bradford

  • Early improvements to capacity and reliability

  • Development work on the Leamside Line in the North East

Phase 2: New Liverpool–Manchester Route

  • A brand-new line between Liverpool and Manchester

  • Running via Warrington and Manchester Airport

  • Designed to reduce journey times and improve airport access

Phase 3: Trans-Pennine Improvements

  • Faster, more frequent services across the Pennines

  • Improved connections between Manchester, Leeds, Bradford, Sheffield and York

Onward Connections

Services will continue to:

  • Newcastle (via Darlington and Durham)

  • Hull

  • Chester, providing links to North Wales

Long-Term Ambition (Beyond NPR)

  • A future new rail line between Manchester and Birmingham

  • To be delivered after NPR and separate from HS2

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