The Government is promising to cut journey times between Manchester and Leeds to 40 minutes by 2025.
It says money is being made available now to improve road and rail links across the Pennines.
The Deputy Prime Minister believes the region doesn't have to wait for the High Speed HS3 link to be built, in several decades time:
The Deputy Prime Minister, Liberal Democrat leader Nick Clegg, has been in the region to promote an initiative called Northern Futures.
It aims to get cities in the North of England to work together to compete with the economic and political power of London.
It's Mr Clegg's first visit to the North West since the Lib Dems' disastrous result in the Heywood and Middleton by-election, when the UK Independence Party almost snatched the seat from Labour.
Watch the full interview below:
The government has announced a £23 million cash boost for businesses in the region.
Deputy Prime Minister Nick Clegg says the money from the Regional Growth Fund. will be
shared between 7 businesses in the North West.
Nick Clegg said:'We’re seeing very encouraging signs that the British economy is on the road to recovery. Home-grown and British-based businesses are leading that charge for a stronger economy.'
The Crewe-based luxury car maker Bentley is leading a project that hopes to save hundreds of jobs.
It will work with its suppliers in a £9m scheme to boost production of parts for luxury cars.
Part of the money behind the project is coming from a Government-backed initiative aimed at safeguarding supply chains across a variety of industries.
Known as the 'Niche Luxury Vehicle Cluster Supplier Capacity Building Programme', Bentley's project is expected to create almost 400 direct jobs and safeguard more than 150 other roles.
It will be financed by £2m from the Department for Business's Advanced Manufacturing Supply Chain Initiative. The other £7m will come from private partners.
Deputy Prime Minister Nick Clegg said: “This is a welcome boost to jobs and growth in the North West. This investment will secure Britain’s future as a world leader in both traditional and new technologies.”