Internal government briefing admits HS2 delays will increase costs

theguardian.com:

An internal Department for Transport briefing on the HS2 project has admitted delays to the high-speed railway will increase costs, appearing to undermine ministers’ claims.

The document seen by the Guardian says the decision to delay the project is also likely to cost jobs, put construction firms at risk of going into administration and that the department could face compensation claims.

It also raises the prospect of trains terminating at an outer London station, Old Oak Common, for almost a decade before trains arrive at Euston.

The transport secretary, Mark Harper, announced the delays last Thursday evening and said they were justified in order to “balance the nation’s books”. Huw Merriman, the rail minister, said he apologised for the timing of the statement last week which “I accept was discourteous” to MPs.

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. Under the last announced schedule, London-Manchester trains were due to start to run some time between 2035 and 2041.

The internal advice was revealed by Louise Haigh, the shadow transport secretary, during an urgent question on Tuesday, saying it was “time ministers came clean” about the consequences of the decision.

Responding, Merriman said: “Obviously we do not comment on leaked documents or certainly not documents I have not been given at all. It is an entirely responsible government approach to balance the commitments we make and transport commitments total £40bn that have been set out to the house.

“It’s also well within a responsible government’s remit that where there are spending pressures right now due to the help this government