It also confirmed an extra £220m to tackle congestion on the roads, funding a raft of pinch point projects, which are to be detailed shortly.

Philip Hammond confirmed a one-off payment of £320m for 140 new free schools, on top of the 500 schools already pledged to be created by 2020.

Of these 140 schools, 30 will open by September 2020 and count towards the government’s existing commitment.

The Government is also releasing a further £216m for school maintenance, taking total investment in school condition to well over £10bn over the Parliament.

His funding announcement comes just weeks after a spending watchdog warned that the Government is pouring billions into building new free schools in England, while existing state schools are crumbling due to lack of repairs.

The National Audit Office estimated £6.7bn was needed just to bring all existing school buildings up to a “satisfactory” standard, with a further £7.1bn required to restore them to a “good” condition.

The Chancellor also confirmed £220m in the National Productivity Investment Fund for pinch points on the strategic road network.

This was announced in the Autumn statement but details will now be released of projects.

Around £90m will go to the North and £23m to the Midlands. Details of individual schemes will be announced in due course by the Department for Transport.