Jobs, homes and better transport links for the Oxford Cambridge Growth Corridor

Working people will benefit from thousands of new jobs, affordable homes and more opportunities as the Chancellor announces a half a billion pound investment package to deliver growth in the Oxford to Cambridge Corridor and cement its status as a global innovation hub.

As part of the government’s drive on growth, the ambitious package will unlock the potential of the Oxford to Cambridge corridor – supporting communities and businesses with new jobs, homes and investment.

Up to £400 million of initial government funding will kickstart development in Cambridge with affordable homes, infrastructure and business expansion. In Oxford the Cowley Branch railway line will reopen with new stations at Littlemore and Cowley – connecting people to jobs, homes and opportunity. These investments build on government’s commitment to deliver East West Rail, which will strengthen links between Oxford and Cambridge, Milton Keynes, Bedford and beyond.

The funding comes as world-leading research and development facility, the Ellison Institute of Technology, announces a £10 billion expansion of its Oxford base over the next decade – creating 7,000 jobs and putting Oxford at the forefront of global scientific research.

Together this government and private sector-backed boost will help make the Oxford-Cambridge Corridor Europe’s Silicon Valley – building on a decade of work that has delivered 43,000 jobs, £27.5 billion of investment and seen the cities ranked as the top two innovation engines in Europe.

The Chancellor of the Exchequer, Rachel Reeves said:

Oxford and Cambridge are home to the two of the best universities in the world, two of the most intensive innovation clusters in the world, and the area is a hub for globally renowned science and technology. Yet thanks to years of underinvestment, they still lack the public transport, affordable housing, and infrastructure they need. That changes under this government.

We have massive ambitions for the Oxford-Cambridge corridor, that’s why we’re reopening the Cowley Branch railway 60 years after it closed, why we’re building more affordable housing and investing in business, and how we’ve been able to unlock £10 billion in private investment. By choosing investment and renewal over chaos and decline, we’re boosting growth and building an economy that works for working people.

Science Minister and Oxford-Cambridge Innovation Champion, Lord Vallance, said:

These investments are a milestone, not just for the Oxford to Cambridge Corridor, but for the entire country. We are going to deliver the housing, amenities and infrastructure that businesses need to grow and that people need to flourish.

This region has all the ingredients to be the UK’s answer to Silicon Valley or the Boston Cluster: somewhere that turns world-class innovation into economic growth the whole nation benefits from. Today is proof we’ll back the OxCam region to fulfil its enormous potential.

Housing and Planning Minister, Matthew Pennycook said:

This government is putting its money where its mouth is to realise the full potential of Greater Cambridge. The funding we have allocated will provide the Cambridge Growth Company and a future delivery vehicle with capital needed to unlock key sites, remove barriers to sustainable growth and ramp up housebuilding in the years ahead to the benefit of existing communities in Greater Cambridge and the UK economy as a whole.

The growth package will deliver a wave of investment, including £15 million for the University of Cambridge Innovation Hub to create lab space for science start ups to grow and compete on the global stage.

This builds on the Oxford–Cambridge Growth Corridor investment prospectus, unveiled at this week’s Regional Investment Summit, which outlines opportunities to unlock worldwide investment and comes as the Chancellor prepares to promote British investment opportunities at the  Future Investment Initiative Summit in Saudi Arabia next week.

Lisa Flashner, Chief Operating Officer at the Ellison Institute of Technology said:

We’re delighted to hear the Cowley Branch Line will be reopened to passenger traffic. It’s a great example of what can happen if government and the private sector join forces and both contribute to a common goal. It will help us attract world-class talent to EIT by linking up key innovation hubs with Central London via direct train services. It will also facilitate a closer alliance between EIT and Oxford University with faster journey times.

Andy Williams, Chair of the Supercluster Board said:

Today’s announcements mark a significant step towards unlocking the full potential of the Oxford–Cambridge Growth Corridor – an essential component of the UK’s growth ambitions. Building on investment in East West Rail, the package for Greater Cambridge and the reopening of the Cowley Branch Line in Oxford are exactly the kind of joined‑up interventions that will help our region of 3.5 million people compete on the global stage. With a potential prize of up to £78 billion in cumulative economic growth by 2035, we have no time to waste. We can and must now go further and faster. By realising the potential across the cluster, we can boost UK science and innovation and drive sustainable, long‑term prosperity across the region. We look forward to working closely with Lord Vallance and his team to deliver on this shared ambition.

Sarah Haywood, Managing Director, Advanced Oxford said:

The government’s investment into reopening the Cowley Branch Line is an exciting and important boost to the Oxford region, connecting communities, science infrastructure and businesses to the city centre, our universities and beyond.  The line will help to realise the full potential of East-West Rail – facilitating connectivity, collaboration and employment across the Oxford to Cambridge corridor.  It is a great example of government investment unlocking private sector support, cementing the region as a World-class science super-cluster.

Professor Roderick Watkins, Vice Chancellor of Anglia Ruskin University and Chair of the Arc Universities Group, said:

We are delighted by this announcement, which we see as a blueprint for universities, government and private investment working together to drive inclusive, sustainable growth.

Universities have long played a vital role in the success of this region. What sets the Arc Universities Group apart is the diversity of its institutions, which together offer a remarkable breadth of world-class research, innovation and skills provision. Working closely together, we will ensure we maximise the remarkable opportunities that these investments unlock, delivering wide-ranging benefits for communities right across the corridor.

Kathryn Chapman, Executive Director of Innovate Cambridge said:

Cambridge is a magnet for world-class talent, business and investment, driving innovations that will shape the future – from life-saving medicines to quantum technologies. The investment package announced today for Cambridge and the wider Ox-Cam corridor is very welcome. It will remove barriers, unlock growth, and ensure Cambridge and the UK remain at the forefront of global innovation.

Dan Thorp, CEO of Cambridge Ahead, said:

We welcome the government’s backing for the Cambridge Growth Company, and wider OxCam Corridor – these are major interventions that will create better conditions for good growth to happen.

Cambridge generates national wealth and, crucially, fuels innovation clusters in other cities and regions. Companies born in Cambridge, and those attracted here from around the world, create jobs in all corners of the UK. As Cambridge grows, the benefits are felt across the UK.

Cambridge can only play its national growth mission role if major local infrastructure and housing constraints are addressed. As Lord Vallance said recently, we’d be “mad not to” maximise the potential of this region.

Today’s announcement represents a transformational opportunity for UK productivity, generating returns felt from Bristol to Blackpool.

More information

• The government’s intention is to launch a consultation on establishing a new centrally led development corporation to support the growth of Cambridge.
• The Cambridge Growth Company, chaired by Peter Freeman, was established by government as a subsidiary of Homes England, bringing together local leaders, communities and industry to develop and deliver an ambitious plan that will remove barriers to growth in Greater Cambridge.
• The Cambridge Growth Company will also begin recruiting for a new Chief Executive.
• This region is a national asset for science, technology, and innovation. It is a world-class cluster for many of the Industrial Strategy’s growth-driving sectors, including Life Sciences, Digital & Technologies, Advanced Manufacturing, Defence, and Clean Energy Industries.
• Previous government announcements for the Oxford Cambridge Growth Corridor:

Arc University

The Arc Universities Group (AUG) evolved as a consortium of universities working together, across the growth corridor, towards inclusive and sustainable economic growth in an area of designated national economic significance.  Together, the region’s universities have a combined turnover of over £5 billion, attracting research income of nearly £2 billion with nearly 17% of all UK spin-out companies.  The AUG now operates as part of the Supercluster Board.