HS2 (again)

Lord (Tony) Berkeley writes a regular column in the Railway Magazine. In the July issue he once again takes a very scathing look at HS2. The article isn’t online but here are a few key extracts:

Head in sand over escalating HS2 costs

New Civil Engineer reports design elements for one of the main design and construct contracts let for the civil works were coming in at 18% over the target price, up from £6.6billion to £7.8bn.

… some bids were as much as 30% to 40% higher than their individual target price.

… the project is probably running three to four years late, even before any serious work on the ground has started. Other estimates from along the route indicate the project is held up because the purchases of the necessary land and additional areas needed for accommodation works are late.

Has HS2 allowed for the cost of diverting a 12in-diameter fuel pipe a dozen times along the route? Have they applied to the National Grid for the necessary power supply for the trains and for the required capital cost contribution to build the necessary power station capacity? Have they allowed for the cost of driving piles to support 20km of double slab track in the mushy ground of the Trent Valley?

I have asked many questions in the Lords since that time and have always been told the funding
envelope of £23.73bn at 2015 prices is still valid.

Given what we are now discovering there seems to be every reason to suppose the out-turn cost of Phase 1 will be a lot closer to £50bn than the DfT’s £25bn.

Surely it is time to reflect on why ministers continue to allow HS2 to have a blank cheque to spend what they like – a figure likely to reach more than £100bn if Phases 2A and 2B are included – while at the same time starving Network Rail of any investment …

It is all investment in the railway and there are many who believe £100bn could make a massive
difference to improving the present network in a greater number of beneficial ways.

Now we know that Tony Berkeley is a powerful voice in the rail freight side of the industry (so he’s not totally unbiased), but he is also a respected civil engineer. Even if half of what he says were to stand up to scrutiny (and from what I’ve read I’m unsure about the cost figures quoted) then it is yet another damning condemnation of this benighted government.

HS2 is a vanity project, pure and simple. It is government “willy waving” on a massive scale. See, for instance, this in the Spectator, this and this in the Daily Mail.

And all of that is without the environmental damage HS2 will do – as the Woodland Trust and the National Trust highlight.

Isn’t it time for everyone to come clean and admit that we just cannot afford HS2? Environmentally or financially. If nothing else, wherever the money is supposed to be coming from, it just isn’t there. Not when we have such a huge public debt. Not now, and certainly not after Brexit.

One thought on “HS2 (again)”

  1. Great analysis. HS2 clearly trying to do the impossible and raise sunk costs to make it irreversible and yet at the same time not paying on compulsory purchases, which is certainly illegal and is due to be challenged

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