Transport grant slashed by £35m

Greater Manchester’s transport grant is to be slashed by more than £35 million.

Transport Minister Norman Baker announced overall Government grants for the area will fall from £84.6 million to £48.8 million in 2011-12.

A spending breakdown reveals the Integrated Transport Block (ITB) grant which funds all non-maintenance transport schemes costing less than £5 million, such as small road projects, road-safety schemes, bus priority schemes, walking and cycling schemes and transport information schemes, is being slashed from £50.3 million to £21.4 million.

In addition money for maintenance of roads, including resurfacing and bridge repairs, is going down from £28.9 million to £27.4 million. Local councils are handed the money for maintenance and the Association of Greater Manchester Councils will allocate it to the 10 district authorities.

Greater Manchester Integrated Transport Authority (GMITA) and the 10 authorities in Greater Manchester are currently assessing the implications of these settlements. Portions of future Local Transport Plan funding have already been committed to pay for the Metrolink expansion and other elements of the Greater Manchester Transport Fund, which pays for major capital projects across Greater Manchester.

Councillor Keith Whitmore, chairman of GMITA’s Policy and Resources Committee, said: “We have been aware of the Government’s intention to reduce Local Transport Plan contributions since the summer, but we now have clarity on the final settlements for the next two financial years.

“Our officers will now assess the implications these settlements could have on minor schemes and projects in the area, but our commitments to the Metrolink expansion and Greater Manchester Transport Fund will not be affected.”

Officials insisted that money is allocated according to need and local authorities are free to spend allocations on their top priorities.

Mr Baker said: “Transport has been identified as a key driver of growth nationally and in the regions. It is only right that Government funding is distributed fairly and evenly across the country so that authorities can deliver vital services to their local communities efficiently and effectively.”