More than £100m will go towards road decongestion schemes and another £300m will be spent on improving rail links to improve access and services between Northern towns and cities.
The local road funding will go towards 13 priority schemes in the North West, 10 in Yorkshire and Humber, and another 10 across the North East. These projects have been proposed by local leaders who know the traffic pinch points in their respective areas.
The £300m in rail funding will be invested in ensuring HS2 infrastructure can accommodate future Northern Powerhouse Rail and Midlands Connect services. The Government hopes this will help create faster services between Liverpool, Manchester, Sheffield, Leeds and York, the East Midlands, and London.
In response to this announcement, Lord Adonis, chairman of the National Infrastructure Commission, says: "Today’s funding is a welcome boost for rail connections across the North of England, helping to ensure we can make the most of the economic benefits that HS2 will bring and improving travel times for passengers.
"It is essential we improve transport across the North to secure economic growth for the region, and that’s why we also want to see real progress on HS3, which would do even more to improve connections between our great Northern cities."