Unite has urged the government to spur growth in the transport sector by ensuring that every pound spent from the public coffer creates £4 worth of benefits to society.

The union unveiled the manifesto for growth at its sector conference in Brighton yesterday. Entitled Transport Matters, the plan demands a stronger commitment to building high-speed rail networks and a new airport to boost London's struggling aviation infrastructure.

It also calls for tough curbs on profiteering bus companies to end extortionate prices and the isolation of communities. So-called "quality contracts" would be rolled out, forcing bus companies to subsidise essential rural routes with the profits from popular services.

Public ownership was trumpeted as a solution to the industry's problems, saving the taxpayer £1.2 billion a year on public railways alone and safeguarding transport workers' jobs against insecurity and unfair conditions.

Unite assistant general secretary Diana Holland, said: "The government needs to bring investment forward to ensure we have an integrated transport system that benefits communities and drives economic growth.

"For too long our public transport has served the whims of the market. We need an end to deregulation and privatisation of our buses which is resulting in 'bus wars', the isolation of communities and soaring fares."

Ms Holland pointed out that the decline of transport investment in Britain compared with countries such as France and Spain would damage Britain's global economic standing.

She said: "Investment in transport in woefully low compared to other countries. If Britain is to win in the global race the Prime Minister talks about then it is time that an integrated accountable transport system was put at the heart of the economic recovery."

The new Labour shadow transport secretary Mary Creagh welcomed the plans saying they would give Labour "food for thought."

She stressed that she would continue her predecessor Maria Eagle's close work with the union, including quality contracts for bus services.

However she pledged that Labour would not blindly accept Tory proposals to implement the HS2 rail project, and would wait for the final 2015 report of the Independent Airports Commission before agreeing any plans for extra aviation capacity.