The economic case

We are wanting to attract £7m of investment… As a high-growth business we struggle to gain any meaningful engagement to help us grow. If this continues, I can see us being forced to move our HQ away from HerefordHigh-growth manufacturing firm

Modelling and appraisal work over recent years indicated that a fully delivered Hereford Bypass would perform strongly on economic grounds. The scheme’s analysis indicated a "High" Value for Money outcome, with an indicative Benefit–Cost Ratio (BCR) of around 2.4, reflecting sizeable net benefits relative to its expected cost.

The quantified assessment identified hundreds of millions of pounds in transport‑related benefits, including reductions in congestion, significant journey‑time savings for business and commuter traffic, and improvements in journey‑time reliability on one of the most congested and least reliable stretches of the A49.

Modelling also indicated the strategic importance of the north–south A49 corridor, which links the Midlands and Wales and handles both local and long‑distance freight. By providing a new river crossing and reducing through‑traffic from the city centre, the bypass would improve the resilience and performance of this key route - an issue consistently emphasised in regional transport strategies and by major employers affected by delays.

In addition to these transport benefits, it is expected the scheme can help unlock housing and employment growth, improve access to existing and upcoming industrial sites, and support wider economic development tied to improved connectivity. Updated modelling in 2026 will incorporate refreshed growth forecasts and the latest transport appraisal guidance to reflect the full value of these impacts, subject to formal business‑case assurance and Government scrutiny.

Delivering homes and jobs

Opening up 150 hectares of employment land would provide the scale and certainty needed to attract new start-ups and employers, and support the expansion of existing ones. This creates an employment zone linked directly to a more reliable, better‑performing strategic network.

This critical mass of well‑connected, serviced land enables a diverse mix of usage - from rural innovators to high‑growth firms requiring larger premises - positioning Herefordshire as a more competitive location within the wider Midlands and Marches economies. The resulting investment potential would likely attract national and international attention.

Herefordshire’s nationally significant defence and security ecosystem further elevates the investment proposition. Anchored by Skylon Park and the Cyber Quarter, and supported by a strong exmilitary workforce and specialist defence training at NMITE, the county already hosts a well-established cluster of defence, cyber and high-security capability.

The proposed bypass could reinforce this offering by improving connectivity, reducing journey-time volatility and helping to create contiguous, secure development sites - key advantages for sensitive defence programmes, secure-bydesign facilities and high-spec technology tenants.

By potentially enabling more than half of the Government’s requirement of 27,260 homes for Herefordshire by 2041, the scheme creates the conditions for long‑term economic expansion. New housing supports the local workforce and strengthens services, while improved connectivity and serviced employment land can attract high‑value businesses and generate additional GVA.