Has the Chancellor fixed the problem of decades of under-investment in Welsh railways?

Business editor Sion Barry gives his verdict on Rachel Reeves' rail investment for Wales

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IN HER Spending Review, Chancellor Rachel Reeves made scant reference to Wales, but on addressing rail funding she was unequivocal.

To cheers on her side of the House she said: "For 14 years the Conservatives failed the people of Wales. Those days are over. Following representation from my right honourable friend the Welsh Secretary (a smiling Jo Stevens) the First Minister for Wales and Welsh Labour MPs I am pleased to announce today £445m for rail in Wales over 10 years."

Hang on a minute, £445m over 10 years, did I hear that right? That would frankly be an utter joke and annualised at just £44.5m... cue incoming nukes from the opposition parties.

With £80bn of rail enhancement projects in England identified up to 2040, and with Wales having around 10% of the England and Wales rail network, that would be a derisory settlement. It has been getting a rail enhancement allocation of less than 2% going back decades and under UK governments of different political colours.

But what she should have clarified (yes, she had a lot to get through) is that around £300m from the 10-year figure will be released over the next four years.

It also means that once projects are signed off - and we have yet to see the confirmed list - they will receive further tranches of funding in the next comprehensive spending review as they will take more than four years to complete. So, over the next decade investment in Wales should be significantly more than the £445m referenced by the Chancellor.

What we now need to see is what projects will go into the Department for Transport's network rail enhancement pipeline for Wales over the next decade and potentially beyond. This is expected in the coming weeks.