The UK Government has stepped in to control and address the increasing costs and delays of the HS2 high-speed rail project
The Transport Secretary Louise Haigh announced new measures on 20 October 2024 that will bring the project back on track and ensure taxpayers’ money is spent more efficiently.
The delay in HS2
HS2, intended to connect London to the Midlands and the North, has encountered ongoing challenges over the years. Costs for Phase One of the project, between London and Birmingham, have spiralled due to poor management, inflation, and issues within the supply chain.
The government has now committed to controlling these costs and has promised to deliver the project more effectively.
Getting HS2 back on track
To address this a new independent review has been launched to evaluate the oversight of major transport projects like HS2. Led by senior infrastructure adviser James Stewart, the review will focus on improving cost forecasting, reporting, and delivery, hoping to make the remainder of HS2 more cost-effective.
Lessons from the ongoing issues with HS2 will be applied to future infrastructure projects to avoid repeating the same mistakes.
The government has also decided to scrap the previously planned Phase 2 of HS2, which would have extended the line from Birmingham to Manchester.
Although regional connectivity is a concern, the government’s current priority is ensuring that the London-Birmingham stretch is delivered within a reasonable budget and timeframe.
Better transport connectivity
The project will also be subject to closer ministerial oversight. Regular meetings will be held between the Transport Secretary, the Rail Minister, and the Chief Secretary to the Treasury to provide more significant scrutiny of progress and decision-making.
A new Chief Executive, Mark Wild, will soon take over the management of HS2 Ltd. Wild, who has experience in delivering large transport projects, will be tasked with reassessing the project’s cost, schedule, and overall direction. His first responsibility will be to develop a new action plan that addresses the current challenges and ensure the project is completed as efficiently as possible.
The government has also committed to publishing detailed, six-monthly progress reports on HS2.
