Funding for an upgrade of Stratford train station is due to get the green light in next week’s Budget, a crucial step towards running international rail services from the east London hub for the first time. The station currently only has domestic services despite enjoying the title “Stratford International”. London mayor Lord Sadiq Khan has been in talks with ministers about funding options to improve the station and introduce the customs and border arrangements necessary to handle international travellers.
Chancellor John Healey is expected to give the go-ahead for the mayor’s plan to create a “business rate retention zone” to help fund the upgrade, according to people involved in the talks. Local authorities usually only keep half of the business rates collected locally, but in a retention zone they can keep all of the growth in rates above a certain level. Khan has made the case for retaining more of the income tax and business rates generated by London.
Stratford International was designed to handle regional Eurostar services from the Midlands and northern England to the continent, but these were never developed. London deputy mayor Seb Dance recently met rail companies including Virgin Group and Gemini about operating international services from Stratford, as City Hall tries to bolster the business case for upgrading the station. Virgin is planning to launch services from London St Pancras to Europe later this decade, and has said it is open to “exploring additional stops”, including at Stratford.
Healey is minded to approve the Stratford business rate zone although a final decision has not yet been made, according to people close to the situation. The move aligns with broader fiscal devolution promises, including those by Prime Minister Andy Burnham, who has pledged greater mayoral powers over planning, housing and transport across England.
Source: Financial Times Companies · Summarized by HeadlinesBriefing