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Transport: Finance

Transport written question – answered on 7th June 2010.

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Photo of Amber Rudd Amber Rudd Conservative, Hastings and Rye

To ask the Secretary of State for Transport what mechanism he intends to use to review regional transport board expenditure in 2010-11.

Photo of Norman Baker Norman Baker The Parliamentary Under-Secretary of State for Transport

holding answer 2 June 2010

The Government do not allocate capital funding for transport projects to regional transport boards, although regions have advised the Secretary of State on the priorities for allocating capital funding to local authorities for major transport schemes in 2010-11.

The Government have made clear their most urgent priority is to tackle the UK's record deficit. The first step to achieve this was announced by the Treasury on 24 May, setting out details of how the Government will save £6.2 billion from spending during this financial year by cutting waste and low value programmes.

Local government will take its fair share of these savings, resulting in a reduction of £1.165 billion in grants paid to local authorities during 2010-11 of which £309 million will be from regional and local transport grants. The Government will shortly announce in more detail the implications for individual grants.

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