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The British economy relies on rail freight to the tune of £870m a year, new research from Network Rail reveals today – with East Anglia’s railway playing a crucial role in the country’s economic recovery.

The report’s findings confirm the importance of projects like Network Rail’s upgrade of the line from Felixstowe to Nuneaton via Ipswich, Ely and Peterborough. Once complete in 2014 the upgrade will provide more direct journeys for freight trains travelling from the Port of Felixstowe to the Midlands, North West, and Scotland, and the potential for faster freight journeys to Yorkshire. Crucially, the project will help take around 750,000 lorries off Britain’s roads by 2030.

Andrew Munden, Network Rail route director for Anglia said: "Britain relies on rail freight. More and more companies are switching to rail and reaping the economic and environmental benefits. As Britain climbs out of recession, Network Rail is boosting business by creating new opportunities for freight transported to and from major ports like Felixstowe.

"Today we are seeing a wide variety of goods transported by rail. Traditionally, rail freight has been dominated by bulk products such as steel and aggregates – unsuitable for road transport – but increasingly consumer goods such as foodstuffs, plasma screen televisions and even Christmas trees arrive by train."

Between 1999 and 2008 the number of containers passing through Felixstowe – the largest container port in the UK – increased by 118% but the number of those containers transported by rail increased by 165%, demonstrating the growing market share of rail. Over the same period the number of trains serving the port daily has almost doubled.

David Gledhill, chief executive officer of Hutchison Ports (UK) Limited, owners of the Port of Felixstowe added: "We have seen constant year-on-year growth in rail volumes through the Port of Felixstowe. We put more containers on more trains to more destinations than any other UK port. Continued investment in the Felixstowe to Nuneaton route is key to continued future growth in rail freight."

Adrian Cannard, head of planning, East of England Local Government Association, said: "The Felixstowe to Nuneaton upgrade is great news for the East of England, which lobbied hard for this improvement. Moving much more freight by rail is vital if we are to boost the economy whilst reducing impacts on our roads and the environment."

With Felixstowe set to continue growing and the new Bathside Bay terminal at Harwich due for completion within the next decade, investment in rail freight – faster, greener and safer than road transport – has never been more crucial. Network Rail’s plans will see an increasing share of freight traffic handled by the railways, reducing pressure on congested roads such as the A12 and A14. It is estimated congestion on the A14 alone costs the region £80m each year.

Mr Munden continued: "Network Rail is committed to working closely with freight operators to improve efficiency and prioritise scarce funding for investment so that we can grow rail’s share of the freight business in an affordable way.

"Up and down the country Network Rail is working on investment schemes that will bring further benefits to business, to consumers and to the environment.

"These schemes often bring significant benefits to passengers as well – it is about making better use of the network. The new piece of track at Ipswich is a prime example of this, removing a major bottleneck on the busy Great Eastern main line and freeing up capacity for both passenger and freight services."