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Rail freight faces being undermined by a UK government decision to cut more than 20% of funding to a grant encouraging a modal shift from road.

This has raised fears that more journeys could return to roads.

The Department for Transport (DfT) has reduced the annual Mode Shift Revenue Support grant (MSRS) from £19.7m to £15.7m, with a further £500,000 reduction expected next year.

More than a million journeys were transferred from road to rail last year – however, new budget cuts will ...

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