HS2 contracts worth £6.6bn awarded

HS2: 'case not made' for high-speed rail line

25 March

The government has not made a convincing economic case for the £50bn High Speed 2 rail line, according to a House of Lords committee report.

The highly critical report also found that ministers had failed to explore more cost effective ways of increasing capacity from London to Birmingham, Manchester and Leeds.

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"The government are basing the justification for HS2 on two factors – increased rail capacity and rebalancing the UK economy," the committee's chairman, Lord Hollick, told the Financial Times. "We have not seen the evidence that it is the best way to deliver either."

He said that London was likely to be the main beneficiary from HS2 – not the Midlands or the north of England. The committee suggested that investment in improving rail links in the north might deliver "much greater economic benefit at a fraction of the cost."

A Department for Transport spokesperson told the BBC that the case for HS2 is "crystal clear" and was "strongly" supported by Northern and Midland cities

"It is crucial we press ahead with delivering HS2 on time and budget, and we remain on track to start construction in 2017," he said.

The controversial plan has long divided politicians and the public, with the government facing opposition to the project from within its own ranks. Its proponents say the rail line will slash journey times, relieve congestion on other parts of the network and drive growth in regions north of the capital.

But critics argue that its benefits have been heavily overstated and the ever-growing sum of money could be better spent elsewhere. In addition, they believe the line will disfigure large parts of the countryside. "There should be no embarrassment in being prepared to revise the project: the objectives and costs are too important," the committee concluded.

HS2 Bill survives Tory revolt but minister threatens to quit

29 April

Plans for the HS2 rail link have been approved by MPs, despite a rebellion from within the Conservative Party with one minister threatening to resign.

David Lidington, the Europe minister and Tory MP for Aylesbury, has said he will step down unless a tunnel is built under the Chiltern Hills, a move that could add more than £1bn to the cost of the project.

He was absent from Parliament for last night's second reading of the High Speed Rail (London-West Midlands) Bill, which paves the way for the contentious £50bn north-south railway.

Around 26 Tories voted against the legislation and several abstained, with many backbenchers objecting to HS2 running through their constituencies.

Lidington, who is in Estonia on official business, told the Bucks Herald that his absence should be considered an abstention. However, Downing Street has claimed that all ministers support HS2 and that Lidington's trip had been long planned.

Nevertheless, the Bill cleared its second reading by 452 votes to 41 due to Labour support. MPs also threw out a proposal by former Conservative minister Cheryl Gillan for the bill to be halted.

MPs gave a range of reasons for their opposition, though "the strongest dissenters appeared to be those worried for their seats", says The Guardian.

Transport Secretary Patrick McLoughlin promised to respect opponents of HS2 and not to dismiss them as "luddites or nimbys". But Boris Johnson appeared to undermine his position, telling Total Politics magazine it was "b******s" that protesters against HS2 were concerned about the environment.

"They're not campaigning for forests, they're not campaigning for butterflies. They pretend to be, but what they're really furious about is that their house prices are getting it," he said. The London Mayor has called on the government to tackle opposition by offering "top dollar" for affected properties.

HS2: Government faces opposition from within

26 April

THE government is facing more opposition to its plans for the High Speed 2 rail link – this time from within its own ranks.

Treasury minister Andrea Leadsom has joined opponents of the scheme in arguing that the £50bn plan does not represent value for money.

“Before she became a minister she sent a series of letters to rail executives, saying that the line would cause severe and irreversible damage to wildlife habitats, heritage sites and areas of natural beauty along the route,” the Daily Telegraph reports.

“Her warnings over the economic justification for the project will be particularly damaging,” the paper adds, “coming from a Treasury minister widely respected for her economic expertise.”

Parliament will vote next week on the plans for HS2, which will connect London to Birmingham in 2026, with branches to Manchester and Leeds following later.

The proposed route for the high-speed line passes through Leadham’s constituency in Northamptonshire and is strongly opposed by local campaign groups.

“Five other Conservative ministers are also under pressure from their constituencies to oppose HS2,” the Telegraph says. “But none would say whether they would vote.”

HS2 chairman wants northern link built six years earlier

17 March

THE high-speed rail network should run north of Birmingham six years earlier than previously planned, the project's new chairman has said in a report for the Government.

Under current plans, the first phase of the scheme between London and Birmingham is due to open in 2026, with the second phase extension to Leeds and Manchester due to finish in 2033.

But the HS2 chairman, Sir David Higgins, has said the second phase could be accelerated by building 43 miles of the network, from Birmingham to Crewe, during the first phase of construction.

In his report, HS2 Plus, he said this would potentially cut the overall budget, as finishing work earlier should trim costs, and better share the economic benefits of the project around the country.

A new "transport hub" in Crewe would open in 2027, connecting the high-speed line with services to the rest of the North West, Wales and Scotland, he said. The remaining links to Manchester and Leeds could then be completed as early as 2030.

Higgins also called for "a more comprehensive development" of Euston station, which is HS2's London hub.

"Let's do Euston properly. Let's think about it now. It's not going to be easy, I have to say, to redevelop that station. It is a mess," he told the BBC.

He suggested scrapping a proposal to link HS2 to the HS1 Channel Tunnel high-speed rail link at St Pancras to save £700m.

"Terminal 5 took 15 years to get through planning process, Crossrail 1 took three years in just committee stages, so the history's not good," he told BBC Radio 4's Today programme. "My message to government and the public is infrastructure is critical to this nation – we can't have a logjam of approval process. I understand the reason for debate and proper consultation, but time is money."

Higgins, an Australian infrastructure expert who was responsible for ensuring London's Olympic Park was built on time and on budget, has been HS2 chairman since January. The project is expected to cost around £43bn – including a contingency of more than £14bn – but this estimate does not include the trains, which will cost about £7bn.

HS2: abandoning project now 'would mean £5bn wasted'

3 March

SCRAPPING the High-Speed 2 (HS2) network now would mean up to £5bn in costs have been needlessly wasted, a group of rail industry leaders has warned.

The High Speed Rail Industry Leaders Group will launch a report tomorrow warning MPs against abandoning the controversial project, which would link London to Birmingham by 2026 and to Manchester and Leeds by 2033.

The bill for the first phase of the scheme is currently before Parliament and the new HS2 chairman, David Higgins, is reviewing the plans. He will report later this month on whether construction time and costs could be cut.

Tomorrow's report from industry leaders will warn that only a tiny fraction of the provisional £42.6bn HS2 budget would be reallocated to national rail if the project were shelved. Only around £2bn would reach the Department for Transport and as little as £670m of this would go on rail, according to the HSR Industry Leaders Group.

Up to 22,000 skilled jobs that are expected to be created in constructing HS2 would also be lost.

The group claims investors and employers would be put off by Britain's lack of ambition and unwillingness to invest in its creaking infrastructure. The opportunity to regenerate the Midlands and north of England would be missed, it says, and a similar solution to the same problems would no doubt be raised again in the future, but at a much higher cost.

Jim Steer, a founding member of the group, said: "HS2 is a project that will build a bright future for Britain. Walking away from HS2 is a risk that Britain just cannot afford to take."

The scheme has proved the most controversial infrastructure project for years, with the pro and anti-groups fiercely defending their positions, reports The Times

Anti-HS2 group, HS2 Action Alliance, has said regional cities would be "milked of talent and business" if HS2 goes ahead, adding that the project "would do nothing to alleviate overcrowding on local commuter trains".

HS 2: China offers to fund high-speed rail link

9 January

CHINA has offered to finance and build links to a new Birmingham station on the High-Speed 2 (HS2) network.

In a letter to the leader of Birmingham City Council, the China Railway Group offered to build connections from the proposed HS2 interchange on Birmingham's eastern outskirts to the airport and cities such as Coventry and Peterborough.

It is the first time China has offered to invest in Britain's railways and highlights Beijing's growing interest in investing in UK infrastructure, says the Financial Times.

It comes weeks after David Cameron's trip to China, during which he welcomed Chinese proposals to invest in UK infrastructure, including Heathrow airport, Manchester airport and a nuclear power station in western England.

During his trip the Chinese premier, Li Keqiang, made a surprise offer to invest directly in the government's high-speed rail line, but British officials insisted that the main rail line would be funded entirely by the taxpayer.

However, the government said Chinese companies would have the opportunity to compete to run the line once it was built and said they would welcome direct investment in stations and other projects around HS2.

The rail project that has attracted the interest of China Railway Group – a Hong Kong-listed subsidiary of the state-owned China Railway Engineering Corporation – involves reopening a railway line closed since the 1930s and building a direct rail shuttle between the Birmingham HS2 Interchange station and the airport. This would enable passengers to check in at the railway station and travel directly to their boarding gate.

China Railway Group, which has played a key role in modernising China's domestic rail network, confirmed its interest in the project, which has been valued at £240m by its other backers.

Paul Kehoe, chief executive of Birmingham Airport, told the FT that he had also been approached by China Railway. He added: "Large infrastructure projects, like HS2, put a large dent in the public purse, so I'm sure the government would welcome such an investment."

HS2: Consider building rail link in one go, says report

13 December

HS2 is "essential" to the UK's economic growth and "serious thought" should be given to building the massive project in one go instead of in two phases, a report says.

The Commons Transport Committee report also says the project's £50bn price tag has been "exaggerated", leading opponents to think the government was issuing a blank cheque to the company building it, the BBC reports.

The Committee's assessment that any risks associated with HS2 are "significantly outweighed" by potential gains, has infuriated critics. The Stop HS2 campaign group called the report "a cheerleading whitewash".

There are a few caveats attached to the glowing assessment of the project, the BBC says. For example, the committee is concerned about the incorporation of Heathrow into the scheme and the cost of building a station at the airport.

Even so, the document gives the government a "vital vote of confidence" says the Daily Telegraph. It has been battling vociferous opposition from community groups, many of its own MPs and several high-profile business leaders The Institute of Directors has branded the scheme a "grand folly".

Opponents of HS2 will be particularly alarmed by the report's suggestion that work on the second phase - a Y-shaped loop linking the Midlands to Manchester and Leeds - should start in 2016 at the same time as work begins on phase one.

Under current proposals, work is not expected to start on phase two until the "middle of the next decade", The Telegraph says.

Joe Rukin, the campaign manager for Stop HS2, said: "The level of complete denial in this report shows it is all about spin and trying to con the public, against the reality that the case for HS2 is falling apart."

HS2: rail route detailed in biggest ever government bill

25 August

THE development of Britain's high speed rail network enters a key phase today as the HS2 hybrid bill goes before Parliament.

The 'High Speed Rail (London - West Midlands) Bill' is effectively a giant planning application for the scheme. If passed, the new legislation would give government the powers to construct and operate phase one of HS2 – the 140-mile line running between London's Euston station and Birmingham.

It is the biggest bill the country has ever seen, stretching to tens of thousands of pages, says Richard Westcott, the BBC's transport correspondent, and "details, almost down to the last blade of grass, exactly what ministers would like to build".

Those affected by the bill are able to petition Parliament, both for and against the proposals, and have their case heard by a committee of MPs. It includes:

Powers to build HS2: The bill will secure planning permission to build and maintain the first phase of HS2.

Rights to forcibly buy land: Government wants the right to buy up houses and land regardless of whether the owner wants to sell. It also wants the power to carry out work on listed buildings, demolish buildings in conservation areas and change rights of way, such as diverting highways and waterways, to enable HS2 to be built.

Details of route: Individuals can see exactly how they will be affected with details of how and where the line will be built.

Environmental impact: The government is also publishing the likely environmental effects of the scheme. For example, ministers will pledge to plant at least 2 million trees to screen the railway and to use Japanese technology to reduce the noise made by wheels on the rails.

HS2 opponents will be protesting outside the Houses of Parliament today, while Labour and the Trades Union Congress have voiced support for the scheme.