HS2 to be delayed by two more years due to soaring costs

theguardian.com:

HS2 will be delayed by another two years and major roadbuilding schemes will be mothballed, ministers have confirmed, after soaring inflation added billions to the cost of transport infrastructure projects.

Ministers insisted they remained committed to Britain’s high-speed rail network scheme, but the budget constraints have cast further doubt over prospects for the rail project’s full implementation.

Parts of the HS2 line between Birmingham, Crewe and Manchester will be “rephased” by two years, meaning the line to Crewe may not be open until 2036, and Manchester not until 2043. Trains may now not run all the way to and from central London until years later than planned as the government “takes time to ensure we have an affordable and deliverable station design” at Euston.

One of the biggest road schemes will also be kicked into the long grass as transport budgets face swingeing real-terms cuts from 2025. The flagship Lower Thames Crossing, a £7bn tunnel and road scheme linking Essex and Kent, will be deferred for at least two years, into National Highways’ next five-year phase of roadbuilding.

In a written statement to MPs, the transport secretary, Mark Harper, said other transport investment projects would also have to lapse in “difficult decisions”. Active travel budgets, including cycling schemes in cities, will also be slashed for the next two years to a total of about £100m, compared with £850m in the last three years.

On HS2, Harper said: “We have seen significant inflationary pressure and increased project costs, and so we will rephase construction by two 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.”

Harper said that