MILLIONS of pounds have been earmarked for changes to the city's transport system that will allow further development to forge ahead.

City bosses say without the £12m being given by the Government for road improvements to the east of Exeter, the Cranbrook development, Science Park and Skypark would not be able to go ahead.

Humphrey Temperley, Devon County Council's executive member for strategic planning, regional and international affairs, said: "It's exactly what we've asked for. Now we've got the funds, our investments into Skypark, the Science Park and Cranbrook can all actually start moving. This was the brick in the wall.

"All the plans we've put together can now move ahead as a result of this decision. Without this our plans could have been prevented."

Planners hope the £12m will help keep traffic moving freely despite the increase in residents, commuters and businesses expected.

It will include bus priority measures along sections of the C832 — the old A30 — and additional bus lanes on the Clyst Honiton/Inter-Modal Terminal Junction.

It will also include a new junction adjacent to the M5's junction 29 to replace congested slip roads at the A30 Blackhorse junction.

It will also pay for right-turn options westbound from the A30 to the C832 and eastbound from the A30 to the M5 south and for two additional lanes on the M5 southbound off-slip and realignment and additional lanes on the northbound off-slip.

Construction is due to start in October, 2010, and finish by November, 2011.

Yesterday's decision comes after the Government previously decided to hand out millions of pounds to widen the motorway, at junction 30, into four lanes.

And a new bridge will be built to allow pedestrians and cyclists to cross the motorway at nearby junction 29.

Tim Jones, chairman of Devon & Cornwall Business Council, said: "These schemes are key investments and will benefit Exeter and the whole of Devon.

"The Skypark in particular will be an important initiative and will drive the economy forward. The availability of funding for the roads is essential to its success."

Government transport minister Paul Clark said: "Over the next couple of years the east of Exeter is going to benefit from major changes and it's vital to make access a priority with so many more residents, commuters and businesses expected in the area.

"This investment underlines the Government's commitment to delivering major improvements in the South West," he said.