Doubts over plans to re-open the Ivanhoe Line project have been raised in connection with chancellor Rachel Reeves' spending announcement today (Monday).

The chancellor detailed the results of an audit of the country's finances, which outline plans to start filling a £20bn black hole - something she says her party has discovered since arriving in government.

She insisted the true state of Labour's economic inheritance was "covered up" by her predecessors, and that means taking difficult decisions now.

This means the Ivanhoe Line - linking Coalville to Derby via Ashby - is likely to be affected by cuts.

Reeves had already suggested that infrastructure and transport projects could be axed or amended.

The Restoring Your Railway programme cancellation will save £85million according to the chancellor.

This was a scheme to bring abandoned railways back into service, which has successfully delivered the renewed Dartmoor Line, the Levenmouth Rail Link and the Northumberland line.

It also provides the funding for the Ivanhoe Line.

However, the New Civil Engineer website says railways that were hoping to be restored through Restoring Your Railway will see transport secretary Louise Haigh assess projects in the portfolio - including The Ivanhoe Line.

Leicestershire County Councillor Craig Smith. Photo: Supplied

Plans for new stations in Ashby and Coalville have already been announced.

But Leicestershire County Councillor, Craig Smith, had suggested the fate of the planned line was a done deal - and criticised new MP Amanda Hack if that was the case.

The Conservative Party candidate at the General Election posted on social media this morning (Monday): "Remember our new MP pledging to 'get the Ivanhoe Line 'fully" reopened'?

"Well, that was four weeks ago.

"Now, 'apparently' the woman in charge of the nation's finances didn't realise she had no money, (public finances being public and all that, and despite being briefed by the Office for Budget Responsibility), so today she'll be cancelling that funding undoing all the progress the previous government made with Campaign for the Reopening of the Ivanhoe Line (CRIL)"

North West Leicestershire MP, Amanda Hack. Photo: Supplied

Concerned campaigners are also thought to be ready to write to new Labour MPs, Ms Hack and South Derbyshire's Samantha Niblett, to try and shield the scheme from cuts after years of work to get to this stage.

Ashby de la Zouch Town Council last week suggested that any opening of the line could be put back from 2026 to 2028 - due to the disruption caused by the General Election.

Council leader, Cllr Chris Smith, said a letter has been written to Louise Haigh, emphasising the potential importance of the line to Ashby and North West Leicestershire.

In 2022, the East Midlands Chamber backed the scheme to boost local business and the economy in the region as it moved through the various RYR stages.

Chancellor Reeves was critical of the previous Conservative government in her speech to the House of Commons.

She said: "They spent like there was no tomorrow because they knew someone else would pick up the bill."

Amanda Hack has been contacted for comment.