Mayor warns Treasury not to turn regional investment into a zero-sum game as deprived London communities miss out again
Sadiq Khan will warn ministers against fuelling regional division by “stumbling into the trap of pitting our towns and cities against each other”, in a sharp rebuke to the Treasury’s decision to exclude London from new infrastructure funding in this week’s spending review.
In his annual State of London address, the mayor is expected to call for investment strategies that prioritise need over geography, highlighting that some of the most entrenched poverty in the country exists within the capital’s boundaries. “I’ve seen first-hand how parts of our city suffer from some of the worst poverty and deprivation in the country,” Khan will say. “As someone who grew up on a London council estate, I know help for our communities should be based on need, not geography. A child blighted by a lack of support and opportunity in Newham or Lewisham is just as deserving as a child born into similar circumstances in Newcastle or Leeds.”
According to the Guardian report, this week’s spending review confirmed that London would receive no new infrastructure investment, despite longstanding calls for support to unlock affordable housing, bolster police services, and fund the expansion of the Docklands Light Railway. Behind the scenes, the mayor is reportedly furious. In his speech, he is expected to argue that withholding funds from the capital undermines national prosperity, given London’s role as an economic engine. “Restricting investment in our capital city doesn’t just limit our power and dynamism,” he will say. “It risks jeopardising growth, job creation and opportunity across the UK.”
While he will welcome commitments to increase funding for Transport for London and to ensure HS2 reaches Euston as planned, Khan is expected to express concern over “inadequate” funding for the Metropolitan Police. He will warn that underinvestment threatens to undo progress made in policing and public safety since the last election.
The mayor’s address will also reflect on the human cost of international tragedy. He will open his remarks by offering condolences following the crash of Air India Flight 171, which was bound for Gatwick and carrying 53 British nationals. “It’s highly likely some of the passengers were either Londoners or had ties to our city,” he will say. “We stand ready to assist in whatever way we can.”
Turning to his domestic record, Khan will highlight key achievements over his nine-year tenure, including the delivery of more new homes than at any point since the 1930s, record council housebuilding, the expansion of the Hopper fare, and universal free school meals for all primary pupils in London state schools. He will also point to the success of the Elizabeth line, which he says created 55,000 jobs and over 1,000 apprenticeships nationwide, as an example of how investing in London can yield benefits across the country.
Khan will end with a call for unity and perspective. “We must never allow ourselves to be drawn into false choices,” he will say. “London’s success is not a threat to other parts of the UK – it’s a driver of their prosperity too.”
