Funding the bypass

Delivering the Hereford Bypass requires a funding approach that reflects its ambitions, strategic importance and multi phase construction. Phase One is already fully funded by Herefordshire Council through a capital allocation of £45 million.

This commitment provides certainty, accelerates early benefits for residents and businesses, and signals clear leadership at a time when national government is prioritising infrastructure that unlocks homes and growth.

Phase Two is a much larger undertaking, and would require a blended funding model combining national investment, government grants and private capital. This reflects both the scale of the scheme and its national significance as a project that unlocks thousands of homes and jobs and removes one of the most severe bottlenecks on the Major Road Network.

Herefordshire Council intends to pursue inclusion in the Road Investment Strategy 4 (RIS4), supported by complementary government funding streams that promote regeneration, housing delivery and infrastructure acceleration. Phase Two also presents opportunities for private investment, particularly where infrastructure directly enables housing and employment development. This could include utilities, strategic site access and value-capture mechanisms linked to the growth corridor.

To ensure the scheme is investment ready, the Council is preparing a clear, staged programme of evidence gathering and business case submissions. These milestones will provide ministers, officials and investors with a transparent roadmap, demonstrating readiness, deliverability and alignment with national priorities.