Northern legs of HS2 to be delayed

The Transport Secretary, Mark Harper, has announced that the delivery of the Northern legs of HS2 between Birmingham, Crewe and Manchester and between Birmingham and the East Midlands are to be delayed by two years.

The Transport Secretary cited high inflation for the delay, that will see the high-speed rail link not reach Manchester until the 2040s. Phase 2a, from Birmingham to Crewe are now expected to open between 2032 and 2036, two years later than previously planned. Instead, work on the line will prioritise the Birmingham to London stretch of the route, although rising costs of upgrades to London Euston station means trains will initially only serve Old Oak Common in West London, with the city centre only reached by onward Underground services.

Speaking in Parliament on Thursday 9th March, Mark Harper said:

“We have seen significant inflationary pressure and increased project costs, and so we will rephase construction by 2 years, with an aim to deliver high-speed services to Crewe and the North West as soon as possible after accounting for the delay in construction”

The announcement of the delays comes shortly after the Transport Secretary stated at the Transport for the North Conference in Newcastle that government was committed to delivering improvements to transport infrastructure across the North of England, including the East-West Northern Powerhouse Rail high-speed route connecting cities across the region. In his address to Parliament announcing the HS2 delay, however, he reiterated this commitment to future investment in rail links.

Transport and business leaders in the region have expressed their disappointment with the further delay to HS2, which was set to dramatically improve capacity on the region’s rail network by freeing up existing lines for more local services.

Lord McLoughin, Chair of Transport for the North and former Transport Secretary under David Cameron, questioned the risk of further costs to the project and the regional economy as a result of more delays. He said:

“This is a disappointing announcement. But I was reassured by the Transport Secretary that we are still getting HS2 to Manchester, and the recommitment to NPR is welcome.

“However, it needs to be understood whether or not these cost savings can be realised while still achieving the same desired outcome and conditional outputs. The government needs to avoid being penny wise and pound foolish, as delays don’t necessarily lead to savings, and in fact can drive costs upwards.

“Nevertheless, the political leaders of the North who sit on our Board have made their collective position very clear – we must transform the North by building both HS2 and NPR in full.

“Taken together, both projects unlock the North’s economy from the existing position of poor infrastructure that has held it back. It is the communities and businesses across the North of England who are suffering most by any delay or inaction in delivering on these schemes.”

Representing businesses from across the city-region, Chris Fletcher, Policy Director at Greater Manchester Chamber of Commerce, questioned the government’s commitment towards its flagship levelling up policy:

“Whilst we acknowledge the financial constraints that government finds itself in, we see the decision to delay the essential construction and further development of HS2 as a step in the wrong direction. We have already seen significant parts of the scheme scrapped or reduced significantly and further delays, dithering and uncertainty undermines any claim this government may have about taking levelling up seriously.

“Outside of the Southeast a combination of factors are having catastrophic impacts on current levels of rail service – hugely amplified by rail strikes. Cutting bits away of HS2 devalues the economic case as does extending the timetable with the impacts of inflation and continuing reliance on a rail system that does not work.

“These schemes are not just about transport but serve as valuable investments into the country, its economy and people that we will benefit from for decades to come. HS2 must be built in full without further delay and take its place as the backbone of transport infrastructure alongside local schemes and continued investment.”