£500 million to be invested in the Growth Corridor
The government has announced that it is investing £500 million pounds in the Oxford to Cambridge Growth Corridor. With this funding, it hopes to deliver growth in the region and to contribute to the creation of a European Silicon Valley, according to the announcement made on 25 October 2025.
The money will be used across the Growth Corridor in the following ways:
£400 million will be used to develop jobs, homes and business expansion in Cambridge, the government says.
£120 million will go towards re-opening the Cowley branch railway line to passengers.
The line, located in south-east Oxford, was closed to passenger traffic 60 years ago. The re-opened line will feature new stations at Cowley and Littlemore.£15 million will be used to create an Innovation Hub in the centre of Cambridge.
The Cambridge and Peterborough Combined Authority hopes that the Innovation Hub will be a ‘go-to location in Europe for early-stage deep tech and life science companies’.
In Oxford, reopening the Cowley branch line has generally been seen as a positive. According to Councillor Susan Brown, Leader of Oxford City Council, ‘The Cowley Branch Line is the single most important piece of infrastructure for connecting local communities and businesses in south and east Oxford’.
In Cambridge, the Cambridge Growth Company says that £400 million of funding will support its work in building economic growth through new housing, jobs and infrastructure. The Growth Company, a subsidiary of Homes England, has an advisory council that includes council leaders and Mayor Paul Bristow. Its purpose is to guide the Cambridge Growth Company to ensure that plans for development reflect input from elected officials and experts.
Beyond the Growth Company’s advisory council, though, there doesn’t seem to be much opportunity for residents to have a direct say in development. Also included in the government’s October announcement is the statement that there will be a consultation on setting up a centrally led development corporation to drive growth in Cambridge.