Transport Secretary Heidi Alexander told MPs on 14 January 2026 that the government will deliver Northern Powerhouse Rail (NPR) in three phases, setting a funding cap of up to £45 billion and releasing £1.1 billion over the next four years for design and consenting. The plan aims to raise service frequency and reliability across the North. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))
Phase One focuses on the Leeds–Bradford, Sheffield–Leeds and Leeds–York corridors, with electrification, line upgrades and station works scheduled during the 2030s. A new Bradford station will proceed to detailed development subject to business case, while a refreshed York Station masterplan will be prepared with local partners. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))
Alongside Phase One, officials will develop the business case for the Leamside Line to enable NPR services to reach Newcastle via Durham and Darlington. The government’s regional material frames this as part of improving regular services to the North East. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))
Phase Two provides a predominantly new line between Liverpool and Manchester, routed via new stations at Manchester Airport, Manchester Piccadilly and Warrington Bank Quay Low Level, with major construction planned in the 2030s. To add capacity sooner, £115 million has been approved to lengthen platforms at the existing Manchester Airport station. ([gov.uk](https://www.gov.uk/government/news/north-west-to-benefit-from-multi-billion-pound-rail-investment))
To obtain statutory powers for works in Manchester, the Department for Transport will resume work on an adapted hybrid bill. Hybrid bills are Parliament’s route for nationally significant rail schemes and can provide deemed planning permission and compulsory purchase powers, with a petitioning process for those directly affected. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))
Phase Three extends into the 2040s and is intended to add capacity and reliability across the Pennines beyond the Transpennine Route Upgrade, with specific attention to Bradford–Manchester, Leeds–Manchester and Sheffield–Manchester links. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))
Ministers also set a long‑term aim for a new north–south railway between Birmingham and Manchester after NPR is delivered. Land acquired between the West Midlands and Crewe will be retained; no specification or timetable has been set, and ministers state this is not a revival of HS2 Phase 2. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))
Delivery will emphasise stable designs and consents before construction and closer joint working with northern mayors. Regional notices present station upgrades and area‑based development as central to economic gains, including work around Leeds South Bank, York Central, Bradford’s new station and Liverpool city centre. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))
Institutional alignment is explicit. The proposals reflect the prospectus from the Liverpool–Manchester Rail Partnership Board, chaired by former Rail Minister Huw Merriman, and Phase One draws on Lord Blunkett’s Yorkshire Rail Plan endorsed by the White Rose mayors. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))
For passengers, the government highlights current constraints-only two fast trains each hour between Leeds and Manchester and slow access to Manchester Airport from nearby cities-and positions NPR to deliver higher‑frequency, turn‑up‑and‑go services over time. Detailed timetables will follow later business cases. ([gov.uk](https://www.gov.uk/government/news/north-west-to-benefit-from-multi-billion-pound-rail-investment))
For local authorities, housing providers and developers, the programme signals multi‑year, station‑led regeneration. The North West notice cites potential for thousands of new homes linked to the Warrington Bank Quay Low Level corridor, while the Yorkshire notice points to city‑centre renewal around Leeds, York and Bradford. ([gov.uk](https://www.gov.uk/government/news/north-west-to-benefit-from-multi-billion-pound-rail-investment))
Near‑term markers include introduction of the adapted hybrid bill for the Manchester sections, a wider plan for the North due in spring 2026, and the first outline business cases for Phase One upgrades. These steps will set the path from design to construction through the 2030s. ([gov.uk](https://www.gov.uk/government/speeches/delivering-northern-powerhouse-rail))