The announcement follows last week’s unveiling of up to £45 billion in investment aimed at transforming rail capacity, reliability, and connectivity across the North of England. As part of this commitment, ministers have agreed to work closely with regional leaders to examine an underground station option at Manchester Piccadilly, a proposal long championed for its economic potential.

A New Rail Spine for the Northern Growth Corridor

The new Liverpool–Manchester line would form the backbone of the Northern Growth Corridor, a strategy designed to unlock economic expansion from the Mersey to the Pennines and further into Yorkshire, Lancashire, and North Wales. Early local analysis suggests the corridor could generate around £90 billion in additional GVA by 2040 from the North West section alone.

A key feature of the route includes a major connection at Manchester Airport, reinforcing its role as the North’s international gateway.

Regional leaders have consistently argued that an underground Piccadilly station could act as a transformative anchor for regeneration—mirroring the “Kings Cross of the North” effect, referencing the dramatic redevelopment around the London terminus over recent decades.

Formal Agreement Signed

Transport Secretary Heidi Alexander met with Greater Manchester Mayor Andy Burnham & Liverpool City Region Mayor Steve Rotheram on 22 January to officially sign the partnership agreement.

Andy Burnham, Mayor of Greater Manchester, said:

“Northern Powerhouse Rail will transform how people get around the north’s great towns and cities, providing better, more reliable public transport as well as delivering good jobs and new homes.

“A new line between Manchester and Liverpool with an underground at Manchester Piccadilly will be the beating heart of a resurgent north of England in the 21st century.

“This agreement demonstrates the government’s commitment to working with us. Together, we will deliver the best version of this transformational project.”

Steve Rotheram, Mayor of the Liverpool City Region, said:

“Signing an agreement on the future of Northern Powerhouse Rail is about turning words into action.

“After more than a decade of delay and broken promises, we finally have a government backing proposals in full and a framework to deliver it.

“Local leaders are ready, the Liverpool City Region is ready, and the whole North is ready, pulling in the same direction. Now we can get on with preparation and delivery of a rail network that matches the ambition of our people and stimulates growth in our economy.”

Transport Secretary Heidi Alexander said:

“Today, I’ve strengthened this Government’s clear and unwavering commitment to Northern Powerhouse Rail by signing an agreement with Mayor Burnham on the next steps for transforming connectivity in Greater Manchester.

“With a new line between Manchester and Liverpool at the heart of our plans, alongside new stations at Manchester Piccadilly and Manchester Airport, we will unlock new opportunities, more jobs and more housing for thousands of people.

“By providing early clarity on scope and phasing, we are giving Greater Manchester the certainty it needs to plan ahead and unlock the full economic and social benefits for its people.

“Building on our existing investment in the Transpennine Route Upgrade, we are getting on with the job to deliver the modern transport network the North has deserved for so long.”

Piccadilly Underground: Benefits and Next Steps

The agreement acknowledges that an underground station at Piccadilly could unlock major opportunities for regeneration, land redevelopment, and wider economic growth. However, it also confirms that further value‑for‑money testing will be required, including comparisons with alternative station options.

The document notes that local funding contributions will be required both for an underground Piccadilly station and for the new Manchester Airport station.

A formal review of the underground option will be led jointly by Vernon Everitt, Transport Commissioner for Greater Manchester, and senior civil servant Tom Riordan, the government’s Envoy to the Northern Growth Corridor.

Regional Leaders React

Cllr Bev Craig, Leader of Manchester City Council, said:

"We have campaigned long and hard for Northern Powerhouse Rail to be delivered, including an underground Piccadilly Station to maximise the benefits. It's great that this Government are listening.

"More frequent and more reliable services linking the great cities and towns across the North will be a game-changer for passengers and a dramatic stimulus for jobs investment and regeneration. This will be particularly marked in the Piccadilly area - but the positive impact will be felt across the city and beyond.

"Today's agreement shows that we're all aboard on the mission to achieve that exciting potential."

Chris Woodroofe, Managing Director at Manchester Airport, added:

"Northern Powerhouse Rail is a vital step towards the creation of a highly productive and internationally competitive Northern Growth Corridor - with Manchester Airport at its heart.

"It will help our high value, high growth industries to thrive and to attract investors and visitors to the region, boosting the North's contribution to the UK economy.

"Here at Manchester Airport, we're proud to play our part in this and I'm looking forward to working with the Government and local leaders to see this plan become a reality."

Cllr Tom Ross, Leader of Trafford Council, said:

“This project is a superb example of what can be done to improve public transport between our major cities in the northern region. This new line, as well as an underground station at Manchester Piccadilly, will make a massive difference to people’s lives as well as providing new jobs and homes.”

Image credits: TfGM

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