The Funding Committee is scheduled to consider significant capital funding allocations for local transport improvements across Peterborough and Cambridgeshire. The committee will review business cases for the 2026/27 Local Transport Grant (capital) allocations, which total over £4.9 million.

Local Transport Grant (capital) Allocations

The committee is set to consider the allocation of the 2026/27 Local Transport Grant (capital) funding. This funding is provided by the Department for Transport (DfT) through the Cambridgeshire and Peterborough Combined Authority (CPCA) as part of the Local Transport Delivery Plan (LTDP). The report outlines that the grant aims to deliver local transport improvements across both Peterborough and Cambridgeshire, addressing pressures on the transport network, maintenance backlogs, and the need for safer, more sustainable, and accessible travel choices.

For Peterborough City Council, an allocation of £1,522,000 is proposed. This funding is intended for a programme of local transport improvements across the city. These improvements are described as a package of low- to medium-complexity capital schemes, including local transport improvements, local highway improvements, traffic management measures, walking, wheeling, and cycling infrastructure, and road safety interventions. Delivery will be undertaken by Peterborough City Council, working in partnership with the CPCA, through the prioritisation of eligible schemes that meet the grant funding criteria, are deliverable within one to two years, and aim to improve connectivity, safety, accessibility, and network performance for residents and communities. The funding is aligned with the CPCA's primary strategic objective of Connectivity, and indirectly supports objectives related to Growth, Resilience, and Performance.

For Cambridgeshire County Council, an allocation of £3,450,700 is proposed. Similar to Peterborough, this funding is intended for a programme of local transport improvements across Cambridgeshire. These will encompass local transport improvements, local highway improvements, traffic management measures, walking, wheeling, and cycling infrastructure, and road safety interventions. Cambridgeshire County Council will deliver these schemes in partnership with the CPCA, prioritising eligible projects that meet funding criteria, are deliverable within one to two years, and enhance connectivity, safety, accessibility, and network performance for residents and communities across the county. This programme also aligns with the CPCA's strategic objective of Connectivity and indirectly supports Growth, Resilience, and Performance.

The report details that the Local Transport Grant (capital) programme responds to the need for targeted investment in local transport infrastructure. The funding is part of the DfT's Local Transport Delivery Plan funding allocation for 2026/27. The grant provides capital funding to Highways Authorities to deliver smaller-scale transport infrastructure improvements that address local priorities and support government objectives of improving connectivity, safety, accessibility, and network performance. The proposed programmes aim to maximise the benefits of the DfT's Local Transport Grant by directing capital investment towards schemes that address local priorities and deliver visible improvements within a relatively short timeframe.

The report also references the broader context of the Mayoral Transport Fund, which consolidates various local transport grants, including Highways Maintenance, Active Travel, Local Electric Vehicle Infrastructure, Local Transport Grant, and Local Authority Bus Grant. This consolidated approach aims to provide authorities with greater flexibility to use funding more effectively and efficiently across programmes to deliver local transport outcomes. The funding is subject to the terms of a Memorandum of Understanding (MoU) between the Department for Transport and the Cambridgeshire and Peterborough Mayoral Combined Authority, which sets out the principles and practices for the working relationship regarding the administration and delivery of local transport programmes.

The committee will also receive the minutes of the previous meeting held on 22 June 2026 for approval. The date of the next meeting is scheduled for Monday 7 September 2026.