HS2 money saving delays to cost taxpayer £366m

Delays to HS2 to “help balance the nation’s books” are expected to cost the taxpayer at least £366m, according to Sky News.

In March, the government said there would be delays of two years to Phase2a between Birmingham and Crewe, to spread the cost over a longer period of time, making it more affordable by reducing annual expenditure.

The railway, which was set to link London, the Midlands and North of England, was given a price tag of £33bn in 2010.

But now the overall target cost, excluding the eastern leg of Phase 2b from the West Midlands to the East Midlands, has rocketed to around £71bn.

Sky News says the analysis it has seen predicts a 3.5 year construction delay rather than two years on a “key section”. The news follows the Transport Secretary’s announcement in April that work had been paused at Euston.

The government gave a programme update on Monday revealing it does not know when its phase into Euston will be completed, as plans need to be redeveloped.

It said it will, “use this time to develop a more affordable scheme design that delivers for passengers, the local community and taxpayers”.

It has forecast that initial HS2 services between Birmingham Curzon Street and Old Oak Common will be delivered within the range of 2029 to 2033.

The delays to the leg from Birmingham to Crewe will be used to “develop mature designs and delivery approaches to ensure that this section is delivered in the most cost-effective way”.