China set to invest in Birmingham rail network as part of HS2 scheme
CHINESE investment could be used to develop links to the main HS2 railway stations in the Birmingham area.
Reports have suggested that Chinese premier Li Keqiang has directly sanctioned the £280m project through the China Railway Group.
The Financial Times said the offer had been made in a letter to Birmingham City Council leader Sir Albert Bore last month.
The proposal involves building connections from the proposed interchange in Birmingham to Birmingham Airport and outlying towns and cities including Coventry and Peterborough.
The scheme is believed to involve the reopening of a Stonebridge railway line which closed in the 1930s and then building a connection to the airport which would allow passengers to check in at the station and travel to their gates.
The restoration of the rail line is considered to be a major catalyst to unlocking the full potential of Birmingham Airport and stimulating growth along the vital M42 corridor.
The 7.3-mile Stonebridge Railway last carried passengers 97 years ago but campaigners believe the route could prove viable again provided sufficient investment is pumped into the project.
A report into the project last year, prepared by Railnews editorial director Alan Marshall together with Michael Byng, a specialist quantity surveyor and construction economist dealing with heavy and light rail projects globally, said the railway would make train services from the existing rail network to Birmingham Airport directly accessible to more than eight million people in central England and avoid the need to change trains at Birmingham New Street station.
Airport chief executive Paul Kehoe is reported as saying he had also been approached by the Chinese firm about the potential for the investment in the high-speed rail project.
He was quoted as saying large infrastructure projects, such as HS2, were very expensive and the offer to fund the project must be one the government welcomed.
Sources said the offer had taken Downing Street by surprise but the Government has reaffirmed that the HS2 scheme will be funded by the taxpayer.
However, the move is thought to be an indication of China’s confidence in the UK and it willingness to invest in such significant projects will be a major boost to the coalition.
The China Railway Group is a subsidiary of the state-owned China Railway Engineering Corporation and is listed on the Hong Kong Stock Exchange. It has played a large role in helping to modernise China’s rail infrastructure.
