Political and business leaders across the East of England have challenged to Government to redress the historic disparity in regional funding ahead of the 2026 Budget as they committed to do in ‘Rewiring the State’. Warning that the region is being short-changed despite being one of the UK’s biggest economic success stories.
A new Budget submission published through the Opportunity East programme reveals that the East receives more than £1,000 less public spending per person than the national average and around £3,000 less than London, despite generating more than £214 billion for the UK economy every year.
The report argues that decades of comparatively low public investment are putting increasing pressure on transport networks, housing delivery and critical infrastructure across the region, threatening future economic growth.
Regional leaders are calling on Government to back a package of transport, housing, infrastructure and skills investments, arguing that supporting the East represents one of the fastest ways to boost national economic growth.
The submission highlights the East’s importance to the UK economy. The region is home to globally significant life sciences and technology clusters, major energy infrastructure, internationally competitive food production and advanced manufacturing industries. It also attracts almost £10 billion in private sector research and development investment annually.
With targeted investment, the report suggests the East could grow to become a £235 billion economy by the end of this Parliament, delivering thousands of new jobs, supporting energy security and accelerating housing growth.
The submission asks Government to:
- Deliver Ely Area Capacity Enhancement to improve passenger and freight capacity.
- Address long-standing disparities in public spending allocations.
- Strengthen support for the East’s role within the Industrial Strategy, including life sciences, advanced manufacturing, clean energy, defence and skills development.
- Invest in transport, water and digital infrastructure.
- Increase support for affordable housing in one of England’s most challenging housing markets.
Cllr Carl Smith, Chair of LGE and Leader for Great Yarmouth Borough Council said:
“The East of England is one of the country’s great economic success stories, but our success should not be mistaken for self-sufficiency.
We contribute enormously to national prosperity yet receive the lowest levels of public investment of any English region. That gap is beginning to show in our transport networks, infrastructure and ability to deliver the homes and jobs the country needs.
If Government is serious about growth, investing in the East is one of the clearest opportunities available.”
Cllr Deborah Saw, Lead Member for Infrastructure, Growth and Planning for LGE and Leader of Babergh District Council, said:
“This is not a request for special treatment. It is a case for fair investment.
The East already delivers for the national economy every day. With the right backing, we can help solve some of the country’s biggest challenges, from housing affordability and energy security to productivity and economic growth.”