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U.K. to Examine ‘Costs and Benefits’ of High-Speed Railway Plan

U.K. to Examine ‘Costs and Benefits’ of High-Speed Railway Plan

(Bloomberg) -- Prime Minister Boris Johnson’s government announced a review of the controversial High Speed 2 railway, which is designed to link London to cities north of Birmingham, including Manchester and Leeds.

HS2 is deeply unpopular with voters along the route, who object to the construction impact and noisy trains passing near their homes. Many are in districts held by the Conservative Party, and Johnson was repeatedly asked whether he would cancel the line during his run to become premier. Critics also say costs will rise above the budgeted 56 billion pounds ($68 billion.)

But advocates of HS2 argue that it’s an essential project not simply to speed up connections between London and other cities, but also to expand capacity on the railways. Johnson has avoided committing himself one way or the other.

The review, which is expected to be completed this year, could be a step toward scrapping the project or meant to give political cover to continue it. It’s being conducted by Douglas Oakervee, an engineer who from 2012 to 2013 chaired HS2 Ltd, the company building the line.

“The prime minister has been clear that transport infrastructure has the potential to drive economic growth, redistribute opportunity and support towns and cities across the U.K., but that investments must be subject to continuous assessment of their costs and benefits,” Transport Secretary Grant Shapps said. “That’s why we are undertaking this independent and rigorous review.”

The review will look at the “benefits and impacts” of the line, as well as its “affordability and efficiency,” the government said in a statement. Work on the project will continue while the review is carried out.

To contact the reporter on this story: Robert Hutton in London at rhutton1@bloomberg.net

To contact the editors responsible for this story: Tim Ross at tross54@bloomberg.net, Stuart Biggs, Andrew Atkinson

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