The federal government has agreed to redirect money it had put up for the now-axed Perth Freight Link to the West Australian government's preferred project - the Metronet.

The two governments have struck a $2.3 billion agreement, including an extra $400 million, in funding to be included in Tuesday’s budget for 17 road and rail projects that will create 6000 new jobs. A combined $1.2 billion will be allocated towards the Perth Metronet rail project. Now premier Mark…