Prime Minister David Cameron says he is disappointed that Oxford has missed out on £62m of investment to improve its road and Rail network.

Yesterday, it emerged the county council had lost out on funding for the most extensive transport project in the city’s history which would have seen the expansion of Oxford Railway Station and tackled congestion on the A34 and city ring road.

Witney MP Mr Cameron has blamed the Government’s £900bn national debt for the cut in spending on transport projects throughout Britain.

He told the Oxford Mail: “Clearly it is disappointing some transport schemes aren’t going ahead because of the massive budget deficit we inherited.

“Our priority has to be cutting it. This involves taking difficult decisions and means that it is just not possible for every road and public transport scheme to go ahead immediately.”

Next year the council will have to re-submit the bid to try to win part of a £2bn cash pot from the Local Sustainable Transport Fund and the Regional Growth Fund.

Wantage MP Ed Vaizey has not responded to requests for a comment.