Question to the HM Treasury:

To ask Her Majesty’s Government whether (1) they are satisfied that the system of appraising transport projects, as set out in the Treasury Green Book, takes sufficient account of the wider economic effects, such as on employment, access to training, linking housing provision to employment opportunities and addressing the potential of run down areas of cities, and (2) they plan to revise the guidance on the appraisal of such projects.

The Green Book requires that all new policies, programmes and projects be subject to a comprehensive but proportional assessment of value for money and that, wherever feasible, all impacts of the proposal should be accounted for within the social cost benefit appraisal.

The Department for Transport appraises transport investment using the Department’s Transport Analysis Guidance, which is fully compliant with the Green Book. The guidance takes into account a number of wider economic impacts, such as labour market effects and agglomeration economies. The Department also appraises the impacts of transport investments on unlocking housing developments and regeneration areas. Where appropriate these impacts are quantified and monetised for transport schemes.

The government guidance on project appraisal, including that specifically relating to transport investment, is kept under constant review and is updated and developed when appropriate.