HS2 ‘blow’ for region
Reaction as rail scheme delayed and over budget
NEWS that the HS2 rail line could be delayed by up to five years at an additional cost of billions of pounds is ‘disappointing’, mayor Andy Street has admitted.
But the mayor says he is still fully behind the project, adding that he hopes the upcoming review into HS2 can “get a grip on the costs and the timeline”.
On Tuesday Transport Secretary Grant Schapps revealed that initial estimates of both the timeline and cost of HS2 were inaccurate, and that delays and increased costs are to be expected.
Calling it “the single largest project of this government”, Mr Schapps revealed that the chairman of HS2 now estimates that the cost of the project will be somewhere in the range of £81 to £88 billion in 2019 prices (against a budget equivalent to £62.4 billion), while delivery to Birmingham could be delayed until 2031, when it was initially scheduled for 2026.
Mr Street has been one of the biggest supporters of the project, and was recently appointed to the Oakervee Review, a governmentled review of the entire project and its costs.
And he says that, despite this most recent setback, he is still determined to ensure that HS2 delivers value for money for the people of the West Midlands.
“Clearly the announcement today about the cost and the timeline for HS2 is disappointing, and that is why the Prime Minister has called a review to make sure the management and budget of HS2 are under control – and that the project continues to provide value for money for taxpayers,” he said.
“As a member of the panel of the Oakervee Review, I am working with the chair and the other members of the panel from other parts of the country to review the HS2 project and to get a grip on both the costs and the timeline.
“HS2 is mission critical for the West Midlands as it will free up the capacity we so desperately need on
our existing railways, drive huge economic growth, and is already creating jobs and building new homes in the region.”
Sir John Peace, chairman of Midlands Connect and Midlands Engine, said HS2 was the best way to add the extra rail capacity that the country and was needed to rebalance the economy.
He said: “It’s encouraging that the government has confirmed that construction work will continue while the review is ongoing. In the Midlands and the North, we are backing HS2 in full, stand ready to build it in full, and are impatient to start benefiting from it in full.
“Although any delay is very disappointing, this is a project we will all benefit from for the next hundred years and more. It’s well worth waiting for. Decades from now, when our grandchildren look back at the investment we made in their future, they won’t be concerned with the exact year in which it opened. Now that we have an up-to-date account of how much HS2 will cost, we must also take a closer look at the benefits, which I don’t believe have been fully quantified or appreciated.
“HS2 will support an enormous amount of economic growth, job creation, increased productivity and swathes of much-needed regeneration, both around the new high-speed stations, but also the existing stations it will serve too. One look at Birmingham and you can see those benefits are real and already here.
“We must not forget that HS2 will also drive significant environmental benefits, freeing up capacity for 144 extra freight trains per day, allowing more than two million extra lorries’ worth of cargo to be transported on our railways each year.
“Empowering businesses to move goods in this way is essential if we’re to reduce emissions and meet the government’s pledge of becoming carbon neutral by 2050.
“Midlands Connect is submitting evidence to the Oakervee review, which will provide a clearer picture of the relationship between the costs and benefits of this transformational project.
“We have a responsibility to represent the views of all the businesses, councils and partnerships across the Midlands and the North who are eagerly awaiting the connectivity and growth this new railway will bring.
“I wholly believe that HS2 is a once-in-a-lifetime opportunity to rebalance the UK economy and build a transport network fit for the future. We must all commit to a spirit of candid transparency throughout the project’s delivery. All parties and regions must work together to ensure it is completed in its entirety and as quickly as possible.”