Rachel Reeves backs major road project set to ease Dartford Crossing traffic for millions by 2030

The Chancellor announced the funding in the Autumn Budget as part of a wider plan to boost national infrastructure across the southeastern region.

The Treasury has signalled that it plans to use the Regulated Asset Base model to finance the main project, meaning private investors will help fund and run the crossing once construction begins.

Ms Reeves said: "As we allocate investment for the infrastructure that is the backbone of economic growth across our country, today I will commit investment for the Lower Thames Crossing."

Public money is being used to complete essential preparatory work, including design, surveys and initial site development. After this phase, the project will shift to private sector control for the construction of the crossing and for long-term operation over several decades.

Matt Palmer, Executive Director of the Lower Thames Crossing, explained additional funding from the Government "gives us the green light to start building the Lower Thames Crossing next year and puts it on track to open in the early 2030s".

The Lower Thames Crossing is intended to improve connections between the Midlands, northern England and major ports in the southeast. By creating a new route under the Thames, it will also make the wider road network more resilient and less vulnerable to disruption.

Officials explained that the crossing could be a major step toward solving long-standing transport challenges in these regions.

It is expected to ease pressure on current routes, particularly the Dartford Crossing, which often suffers from heavy congestion and supports millions of car journeys every year.

By providing an alternative path for freight and passenger traffic, the project aims to improve journey times and reliability for vehicles travelling between key economic centres and international gateways.

Ministers said they view the scheme as vital for reducing bottlenecks that currently slow down business activity and limit economic growth between the north and southeast of England.

Major transport projects will benefit from this commitment, including the £11billion TransPennine Route Upgrade now underway and £15.6billion earmarked for city-region transport budgets that will improve travel for millions of people.

According to the Office for Budget Responsibility, this level of public investment could increase the country's economic potential by around 0.4 per cent over the next decade.

Transport infrastructure remains a core part of the Government's strategy for growth, the Chancellor explained. Funding is being directed not only towards road and rail links, but also towards new housing developments and improved national energy security.

The Budget also builds on earlier commitments made in the 2025 Spending Review, which dedicated more than £15billion to better connect towns and cities across Britain.

Industry groups, particularly those in the transport technology sector, have welcomed the Government's announcements.

Intelligent Transport Systems UK, which represents 200 organisations, strongly supported the decisions made in the Budget.

Its chief executive, Max Sugarman, highlighted how the continued funding for major schemes such as the Lower Thames Crossing, the TransPennine Route Upgrade and the Midlands Rail Hub would help strengthen transport links for communities across the country.

He said: "We welcome the inclusion of funding for projects like the Lower Thames Crossing, TransPennine Route Upgrade and Midlands Rail Hub – all of which will support greater connectivity for communities across the UK."