The government has taken charge of overseeing the construction of the HS2 rail line, as it grapples with escalating costs for the project. Transport Secretary Louise Haigh has initiated an independent review of Phase One to gain control over the expenses incurred for the line connecting Birmingham and London. The government attributed the cost overrun to “poor project management, inflation, and poor performance within the chain”, with warnings that the total expenditure could exceed £65 billion.
Haigh, accompanied by Rail Minister Lord Peter Hendy and Chief Secretary to the Treasury Darren Jones, will conduct regular meetings to monitor the project’s progress and expenses. The government has committed to releasing reports on HS2 every six months to ensure transparency and accountability. Haigh expressed her determination to address the project’s inefficiencies, stating, “Taxpayers have a right to expect HS2 is delivered efficiently, and I won’t stand for anything less.”
A review named the Major Transport Projects Governance and Assurance Review, headed by James Stewart, a former chief executive of Infrastructure UK with experience on the Crossrail project in London, will present its findings to the government this winter. The Department for Transport suggested that contracts with companies involved in HS2 might be renegotiated or modified as part of the process. Additionally, the government clarified that the line will only extend to Birmingham, with no plans to revive the extension to Crewe and Manchester.
Haigh emphasised the need to swiftly address the project’s costs and ensure taxpayers’ money is utilised effectively. HS2 Ltd expressed support for the government’s priorities and the governance review led by Stewart. The organisation acknowledged the need to learn from past delivery issues and implement necessary changes under new leadership to stabilise costs. HS2 is deemed vital for the UK’s rail network, promising improved journeys, enhanced services, and economic growth while addressing regional inequality.
In conclusion, the government’s intervention in overseeing HS2’s construction and costs aims to rectify past shortcomings and ensure efficient delivery of the project while upholding transparency and accountability.