A £165 million bid to link two main roads in Colchester and widen the A12 has been backed by the Government.

Housing bosses yesterday announced two schemes, to link the A133 and A120 east of Colchester and to widen the A12 near to Marks Tey and create a new junction with the A120, had passed the initial tests.

The detailed business cases for both proposals will now be examined before final decisions on each are reached.

Both schemes are linked to plans to create two new towns, to the west and east of Colchester, in a bid to meet ambitious housing targets.

But neither development is without controversy, with initial plans for both being heavily criticised in some quarters.

It is, however, widely accepted the proposed road improvements would have to take place before either new town is built.

Paul Smith, Colchester Council leader, said: “I’m absolutely delighted the Government has once again signalled its support for our work to deliver vital new jobs and Government housing targets in north Essex, and to enhance and maintain Colchester as a welcoming place for investment and business.

“While today’s announcement is a step towards the bids being successful, it is also testament to the commitment of this council and our partners to attract substantial new investment to help facilitate the infrastructure-first delivery of new garden communities in our area, as well as providing improved transport for the people of Colchester.

“Collaboration is absolutely vital, if we are to continue to develop sustainable solutions to the transport issues that impact residents, the environment and our local economy.”

The two schemes are part of a package of bids to the Government’s Housing Infrastructure Fund which were submitted by Essex County Council.

David Finch, leader of Essex County Council, said: “Housing is one of the biggest issues the nation faces and how we provide homes for the next generation is a challenge that we cannot avoid.

“However, simply building new housing estates is not the answer. We must build the right homes, in the right locations, with the right infrastructure, if we are to create real communities and inspire economic growth.”

Kevin Bentley, Essex County Council and councillor responsible for infrastructure and economic growth, added: “For our bids to be backed at the highest level of Government is proof that the council and its partners have the right vision for sustainable growth.

“We are confident we can produce compelling business cases to ensure Essex stands out at the next round of this competitive funding process.”

John Spence, chairman of North Essex Garden Communities, said: “Since its inception, NEGC has demonstrated a strength of partnership and ambition unrivalled across the country, with a plan to deliver 43,000 new homes, jobs and transformative infrastructure across three Garden Communities - the largest single housing project in the UK.

“Our driving ambition is to ensure new development is properly planned and delivered in a better way, ensuring the right infrastructure is in place at the right time to enable new settlements to function from day one.”

“That is why we at NEGC are delighted that the HIF bids supporting two of our garden communities have been successful in reaching the next stage.

"This now enables NEGC to work closely with Homes England to ensure that the strategic road infrastructure improvements supported by the HIF bids are planned in a manner that underpins the development of sustainable, holistically planned garden communities where people want to live, work and play.

“We are determined to develop true garden settlements and we are delighted that the Government has backed this bold ambition to create something truly special in North Essex.

“Finally, we look forward to working with existing residents and communities to achieve outcomes that work for all.”