The UK Department of Transport has announced a £67m boost to the sustainable Distribution Fund that will help encourage rail use by helping the freight industry to reduce costs and cut emissions.
Current schemes for the encouragement of rail freight support the removal of over one million truck journeys a year.
The scheme also supports increased water transport and will be used to help hauliers and freight operators cut costs, increase fuel efficiency, reduce emissions and cut road congestion.
Transport Minister Jim Fitzpatrick said: "This £67m is a vote of confidence from the Government in the freight industry. As more freight is transported by rail or water it will bring clear benefits for the economy, the environment and other road users."
Freight Best Practice is one of the programmes to benefit, with funding increasing from £1.2m to £1.5m a year.
Between 2005 and 2006 the industry saved £83m with the help of the scheme, and saw CO2 savings of 240,000t.
By Daniel Garrun
