The Chancellor has officially approved the Lower Thames Crossing in a significant address on economic growth. The Government had postponed approval of the new tunnel last autumn, setting a revised decision deadline of May 23, 2025, to “allow more time for the application to be considered further, including any decisions made as part of the spending review.”
However, prior to unveiling its industrial strategy in the spring, Chancellor Rachel Reeves committed to collaborating with the private sector to build the crucial infrastructure the country urgently requires.
“This includes the Lower Thames Crossing, which will improve connectivity at Dover, Felixstowe and Harwich, alleviating severe congestion as goods destined to export come from the North and the Midlands and across the country to markets overseas,” she explained.
“To drive growth and deliver value for money for taxpayers, we are exploring options to privately finance this important project.”
The tunnel, which will connect Kent and Essex, is expected to relieve the burden on the Dartford Crossing, one of the most congested routes in the UK. It currently costs the economy over £200 million annually due to lost productivity and freight delays. The new crossing will nearly double the capacity for traffic across the Thames to the east of London and is anticipated to deliver up to £40 billion in economic benefits to the UK.
The Road Haulage Association (RHA) hailed the announcement of the Lower Thames Crossing (LTC) as a significant win for both the road transport sector and the broader economy, long advocating for improvements to the strategic road network to address congestion and boost efficiency nationwide.