David Chadwick calls for rail powers to be devolved to Wales after confirmation East-West Rail brings no funding uplift

WELSH Liberal Democrat MP David Chadwick has criticised the UK Government after it confirmed that Wales will receive no additional funding from the £6.6 billion East-West Rail scheme, which runs entirely between Oxford and Cambridge in England.

Mr Chadwick uncovered the detail through a written parliamentary question answered by the Parliamentary Under-Secretary of State for Transport, Simon Lightwood. The project has been classified as an “England and Wales” scheme, despite not including any infrastructure in Wales — a classification that prevents Wales from receiving a proportional share of funding through the Barnett formula.

The issue mirrors the controversy over HS2, which was also designated as benefiting both England and Wales, even though the line does not extend into Welsh territory. Independent estimates suggest Wales could have received over £360 million in consequential funding from East-West Rail if it had been classified as “England only.” Broader estimates indicate that similar misclassifications over the past decade may have cost Wales more than £4 billion in potential funding.

In the House of Commons, Mr Chadwick described the decision as “shocking,” and renewed calls for the devolution of full rail infrastructure powers to the Senedd. He argued that only through devolution can Wales prevent future misallocations and ensure investment in local lines such as the Heart of Wales Line.

Speaking after the exchange, Mr Chadwick said: “It is simply indefensible that Wales continues to be frozen out of hundreds of millions in rail funding for projects that do not lay a single centimetre of track in our country. We saw this with HS2, with Northern Powerhouse Rail, and now again with East-West Rail. Time after time, Wales is left behind.”

He added: “Wales must be able to invest properly in its own rail network. That includes delivering serious improvements to the Heart of Wales Line, which has been neglected for decades. This line is a lifeline for rural communities, supporting jobs, education and tourism, and it deserves the same level of ambition and investment as rail services elsewhere in the UK.”

While critics point to a pattern of funding disparities, the UK Government maintains that major rail projects often bring broader economic benefits across the UK, including Wales — for example, through supply chains or job creation. However, Welsh politicians and transport experts have repeatedly argued that these indirect benefits do not match the level of direct investment seen in other parts of the union.

The Welsh Government has long advocated for the devolution of rail infrastructure powers, which are currently reserved to Westminster. It has argued that devolution would enable more targeted investment in Wales’s underfunded network — a view backed by a growing number of transport economists.

Mr Chadwick and the Welsh Liberal Democrats continue to campaign for East-West Rail to be reclassified as an “England only” scheme and for a fair funding settlement that reflects actual geographic delivery. They are also pressing for urgent investment in rural rail services, particularly the Heart of Wales Line, which connects Swansea to Shrewsbury via mid Wales.