Politicians react to Rachel Reeves’ pledge to turn Oxford to Cambridge corridor into ‘Europe’s Silicon Valley’
Politicians across Cambridgeshire have been reacting to the government’s plans to unlock economic growth in the Oxford-Cambridge corridor.
In a speech on Wednesday, Chancellor Rachel Reeves pledged to turn Oxford and Cambridge into “Europe’s Silicon Valley”. She said the plans are part of her “fight” for economic growth across the UK.
Ms Reeves announced the government’s backing for housing, transport and other investment in the Oxford-Cambridge corridor, which she said could add £78 billion to the UK’s economy by 2035.
She said new reservoirs will be built near Abingdon in Oxfordshire and in the Fens near Cambridge. They will be among nine new reservoirs built as the Government has agreed for water companies to invest £7.9 billion to improve infrastructure.
She also touched on funding for East West Rail, which is due to connect the cities via new railway stations in Tempsford, Bedfordshire, and in Cambourne. And added that further investment will go towards the development of new and expanded communities within the Oxford-Cambridge growth corridor.
Ms Reeves noted the recent announcement that the Cambridge Cancer Research Hospital will be prioritised as part of the new hospitals programme.
Recognising Cambridge’s global leadership in science and technology, the Chancellor also welcomed Cambridge University’s proposal for a large-scale innovation hub in the city centre.
Finally, the Chancellor has confirmed the appointment of Sir Patrick Vallance as Oxford-Cambridge growth corridor champion.
In this role, he will provide senior leadership to help deliver the government’s vision for the corridor, ensuring that the full economic potential is realised.
Daniel Zeichner, Labour MP for Cambridge, said: “This is a really important moment for our city - these commitments from the government represent a significant step forward for Cambridge as well as signalling real change for the wider region and the country.
“Investment in transport, housing and research facilities will strengthen our city’s position as a global leader in science and technology while also unlocking a huge opportunity for local people to benefit from the region’s growth.
“It is crucial that we get the balance right - development must be sustainable, and infrastructure must keep pace with demand. I will continue to push for further investment in public transport, water security and affordable housing to ensure Cambridge remains a great place to live and work.”
Cllr Mike Davey, the Labour leader of Cambridge City Council, said the government must learn from the mistakes the previous government made on the Oxford to Cambridge Arc.
He said: “If the UK wants to remain competitive and grow to support investment in our public services the Government needs to think big. Whether it’s the Ox-Cam Arc or the Golden Triangle, Oxford-Cambridge-London, this is where the UK’s future growth sectors in AI, cyber, genomics, advanced manufacturing and life sciences are concentrated.
“The chancellor, rightly, has put a premium on investing in these growth sectors over the long term. But the government should also learn from the mistakes the previous government made on the Arc – we need to bring local communities with us and they need to see the benefits.
“In our recent open letter to Ministers, ‘Cambridge Can’, we [leaders across public, private and university sectors in the city] all put our hands up to support the government’s growth mission. We think it’s critical to the country’s future that we maximise the potential of Cambridge – but we also recognise that to do this will mean investing in the ‘hardware’ of the city.
“That means more affordable housing, investment in water and transport infrastructure to maximise growth sustainably for Cambridge, the region and the UK. Cambridge is where innovation makes history.”
Reacting to today’s announcement, Liberal Democrat mayoral candidate Lorna Dupré said it was a recognition of Cambridgeshire’s significance to the UK economy, but added that the infrastructure mentioned - like the Fens Reservoir - is needed for existing housebuilding plans.
She said: “Chancellor Rachel Reeves has today announced plans to accelerate growth in and around Cambridge, including a revival of the Oxford-Cambridge Arc abandoned by Boris Johnson, and green-lighting of plans for development at Waterbeach and Cambridge’s Beehive site.
“This announcement is a recognition of Cambridgeshire’s significance to the UK economy. But it’s also an urgent attempt by the Government to revive flagging economic growth, and much of what has been announced by way of infrastructure to support intensified development around Cambridge consists of schemes already planned or under way.
“It’s not clear whether the money is there for the whole route of East West Rail to Cambridge, and residents and businesses need certainty about this so that they can plan for the future.
“House-building plans in and around Cambridge are already ambitious, developed through the local planning process. The infrastructure in the Chancellor’s announcement is needed to meet these existing plans.
“For example the proposed Fens Reservoir—still in the early stages of consultation—will not be supplying water until the late 2030s, and is intended to enable the existing housing targets. Additional development will require further investment to ensure communities have access to sufficient water, health services, and transport.
“Commitment to the Cambridge Cancer Hospital is welcome, but our health services, from GP surgeries and access to dentists, to accident and emergency facilities in our hospitals, are already struggling.
“And the establishment of further unaccountable delivery bodies to progress the Government’s plans does not bode well for genuine public engagement and democratic input. This is particularly concerning as the Chancellor’s announcement comes just at the point at which the Government is tearing up the fifty-year-old map of local government and reorganising local councils which will take several years to set up and start work.”
Responding to the speech, Paul Bristow, Conservative mayoral candidate, pointed to the lack of attendance of Labour mayor Dr Nik Johnson at meetings of the England Economic Heartland strategic transport leadership board.
He said: “It is positive the Cambridge Cancer Hospital will now finally go ahead, and the government has reiterated support for our technology industry, but Cambridgeshire and Peterborough could have done so much better with a full time mayor.
“Our mayor has managed to attend zero meetings of the England Economic Heartland strategic transport leadership board - the body which has been supporting many of these proposals - since he joined in December 2022.
“There is still a dire need to upgrade the Ely junction to ensure faster train connections and Peterborough has been completely ignored.
“It is time Cambridgeshire and Peterborough had a mayor who can be trusted to lead the way on these major projects, rather than sitting on the sidelines looking in.”
Cllr Lucy Nethsingha, Lib Dem leader of Cambridgeshire County Council, said: “As the Chancellor outlined today, Cambridge is important for the wider UK economy, and we want to ensure ambitions for much-needed growth also benefit and involve local people. We met with the housing and planning minister last year and explained how our area’s substantial economic success also creates significant pressures on local services and infrastructure.
“We were encouraged by the discussion, but we need the government to support councils in these growth areas. We will continue to work with our mayor and central government to deliver for local residents, communities and businesses.”
Cllr Elisa Meschini, Labour deputy leader of Cambridgeshire County Council, added: “We have recently discussed Anglian Water’s proposals for two new reservoirs at our environment and green investment committee, we will be involved as a statutory consultee and from a technical response as the local ighways Authority and the Lead Local Flood Authority.
“Similarly for East West Rail, this was discussed at our highways and transport committee this month, another project which falls into the Nationally Significant Infrastructure Project (NSIP) process. We will continue our constructive discussions with EWR around the electrification of the route, ecology and public rights of way.
“Cllr Nethsingha and I look forward to working with Lord Patrick Vallance on the Oxford to Cambridge corridor.”