TRANSPORT SECRETARY Patrick McLoughlin is hitting back at claims that HS2 will cost much more than the official figures suggest, and has accused some of the project's opponents as being 'deliberately misleading'.
In a hard-hitting speech on 11 September, he described HS2 as a 'heart bypass for the clogged arteries of our transport system that will lift the long-distance burden from our overcrowded main lines’.
He has also published new research by KPMG which sets out how HS2 could boost the economy by up to £15 billion per year.
Mr McLoughlin has been confronted by a growing clamour from critics over the summer break, with claims that the scheme -- officially costed at around £50 billion, including £7.5 billion for new trains -- could need as much as £80 billion or even more. The Commons Public Accounts Committee is also maintaining its opposition, having published a new and critical assessment a few days earlier.
The transport secretary said: "The benefits of faster journeys are easy to explain. But speed is not the main reason for building the new railway. The main reason we need HS2 is as a heart bypass for the clogged arteries of our transport system.
"It will lift the long-distance burden from our overcrowded main lines so they can concentrate on what they are best at. More local trains. More freight trains. More services for towns and cities up and down Britain.
"Because the point about High Speed Two.is that you won’t have to travel on it to gain from the better transport system and economic growth it will support."
"The budget for HS2 is £42.6 billion. Not £70 billion. Not £80 billion. Not the scare stories from opponents.
"For the full network to Leeds and Manchester with links on to the East and West Coast main lines beyond to serve Scotland, Newcastle and the north-west. And that is an upper limit with contingency -- £14.4 billion in reserve which we are determined to bear down on. We are commissioning work by the world’s leading project managers at the Saïd Business School at Oxford University into the scope for reducing contingency.
"The head of Network Rail said in July he expects the final cost of construction to be significantly less than £42.6 billion."
He also hit back at the scheme's opponents, saying: "Some criticism is ill-informed -- and some of it is deliberately misleading."
Mr McLoughlin has not only been faced with opposition from outside but also signs of doubt within Parliament, with several senior Labour figures backing away from the scheme in recent weeks.
However, Labour is still officially supporting the Government's determination to go ahead, although it is unhappy about the rate of progress. Shadow transport secretary Maria Eagle said: "Far too many people have to stand on their way to and from work, often in cramped conditions, despite paying thousands of pounds for their season ticket. The only credible way to free up space for more commuter services is if we shift the growth in long distance journeys on to a new high speed line. This will also enable us to make greater progress in shifting freight from road to rail, reducing congestion and the emissions that contribute to climate change.
“David Cameron has disastrously failed to provide the leadership necessary to build support and make progress on actually delivering the vital new north-south rail line. As a result of three years of dither and delay, there is no prospect of securing Parliamentary approval for the first phase of the scheme before the next election. The Government must now redouble their efforts to make the new north-south rail line a reality and ensure it remains on budget and on track.”
Opponents of the scheme appeared to remain unconvinced. Joe Rukin of StopHS2 commented: "It is really sad that the Government is still all aboard this express train to disaster. It’s time for the Government to pull the emergency stop."
Richard Houghton of HS2 Action Alliance added: "It is always depressing when you hear Ministers make statements that they know to be untrue. A quick study of the DfT's own figures show that Euston is second least crowded London station for long distance travellers -- beaten only by HS1. The vastly cheaper alternatives more than meet the Government's own projected growth for the next 30 years -- and these take no account that passenger journeys actually dropped in Q1 of this year.”
"Betting £50 billion on a single train line being the solution to the economic woes of the country outside London really is irresponsible -- and doesn't cover up for the lack of a coherent economic strategy for the regions. It's time to accept the facts: HS2 is an unnecessary waste of money."
Meanwhile, the Government's High Speed development company HS2 Ltd is defended KPMG's conclusions. A spokesman said: "This report makes a hugely significant contribution to the progress of HS2. Increased rail capacity, with faster and more reliable connectivity, will contribute to the economy right across the UK. The North and Midlands are set to gain at least double the benefit for the south.. There is now clear evidence of the economic boost HS2 represents in terms of jobs, productivity and growth. HS2 is the right project at the right time.”