An upgrade to rail services in east Kent should begin by the middle of next year, despite concerns over funding.

The work on signal improvements to put Thanet within an hour’s reach of London took a step closer after a meeting between Kent MPs last week.

In a conversation with North Thanet’s Sir Roger Gale, Business Minister and Sevenoaks MP Michael Fallon pledged his support for the plans.

The talks will allay concerns at Kent County Council about funding the improvements, after changes to the way it can claim government money for such job-creation projects.

In a letter to Mr Fallon, shown exclusively to the KM Group, council leader Paul Carter said he feared KCC “would be unable to proceed”. He said the council needed to be able to draw money from the £3.2bn Regional Growth Fund many months ahead of work taking place – something rule changes forbid.

As a result, both Sir Roger Gale and Canterbury and Whitstable MP Julian Brazier also wrote to Mr Fallon asking him to back the proposals.

And the Business Minister gave Sir Roger personal assurances in a meeting that he would support the plans.

Sir Roger said: “I don’t doubt his (Mr Fallon) word for a minute. He’s wholly supportive and seeking to find ways to ensure funding through the Regional Growth Fund.

“I would be very disappointed if there had not been significant progress forward by the middle of next year. Connectivity is important these days. It will be a significant step forward.”

Mr Brazier added: “This project is an important one for the east Kent economy – and particularly for the Discovery Business Park and the development of Manston Airport.

“I am very disappointed that Network Rail’s team has been stood down for over a year because of delays over the funding and I am anxious to see some progress made without further setbacks.”

Should the plans go ahead, KCC would allocate money from the Regional Growth Fund to Network Rail to make the improvements to the track running through Ashford, Canterbury and Ramsgate.

The news came a day after ambitious plans for 800 homes on the edge of Ramsgate were unveiled at a public exhibition, which could lead to the development of a new Thanet Parkway station. As well as serving Manston airport, developers say it would provide an important transport link to Westwood Cross, Manston Business Park and Discovery Park.

So far through the Regional Growth Fund, Kent County Council has allocated money to small businesses through its Expansion East Kent and TIGER schemes.