{"id":1117,"date":"2023-09-24T12:29:23","date_gmt":"2023-09-24T12:29:23","guid":{"rendered":"https:\/\/260web.com\/news\/hs2-crazy-not-to-review-project-over-soaring-costs-shapps\/"},"modified":"2023-09-24T12:29:23","modified_gmt":"2023-09-24T12:29:23","slug":"hs2-crazy-not-to-review-project-over-soaring-costs-shapps","status":"publish","type":"post","link":"https:\/\/260web.com\/news\/hs2-crazy-not-to-review-project-over-soaring-costs-shapps\/","title":{"rendered":"HS2: ‘Crazy’ not to review project over soaring costs – Shapps"},"content":{"rendered":"

HS2: ‘Crazy’ not to review project over soaring costs – Shapps<\/p>\n

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By Katy Austin & Lora Jones<\/div>\n
BBC Business<\/div>\n<\/div>\n<\/div>\n<\/div>\n
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The former transport secretary has said it would be “crazy” not to review plans for the HS2 rail link as costs have soared.<\/b><\/p>\n<\/div>\n<\/div>\n

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Grant Shapps told the BBC that the Ukraine war and a spike in inflation mean any government would need to make “serious decisions” on affordability.<\/p>\n<\/div>\n<\/div>\n

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The BBC understands a definitive decision on HS2 could be made as soon as this week.<\/p>\n<\/div>\n<\/div>\n

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The government has so far refused to commit to the current plans. <\/p>\n<\/div>\n<\/div>\n

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HS2 is intended to link London, the Midlands and the north of England – the first part, between west London and Birmingham, is in mid-construction. <\/p>\n<\/div>\n<\/div>\n

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But the scheme as a whole has already faced delays, cost increases and cuts – including to the planned eastern leg between Birmingham and Leeds.<\/p>\n<\/div>\n<\/div>\n

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The last official estimate on HS2 costs, excluding the cancelled eastern section, added up to about \u00a371bn. <\/p>\n<\/div>\n<\/div>\n

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This was in 2019 prices so it does not account for the spike in costs for materials and wages, for example, in recent months.<\/p>\n<\/div>\n<\/div>\n

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The numbers were given to Parliament in June and include up to \u00a326bn for the whole of Birmingham to Manchester. They also exclude what is left of the eastern leg, and a scrapped Golborne link in Cheshire.<\/p>\n<\/div>\n<\/div>\n

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Speaking to Victoria Derbyshire on the BBC’s Laura Kuenssberg programme, Mr Shapps said that no decision on the project’s future had been taken as of yet.<\/p>\n<\/div>\n<\/div>\n

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“We do have to respond to the budgets,” he said.<\/p>\n<\/div>\n<\/div>\n

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“We’ve not only been hit by the coronavirus, but the war in Ukraine… any responsible government has to ask whether that sequencing still stacks up for what the country requires.”<\/p>\n<\/div>\n<\/div>\n

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He added that when previous commitments had been made, “no-one knew we’d be in a war in Europe right now with all of the consequences, all of the costs, and all of the inflation.”And any government that doesn’t go back and then look at it is crazy.” <\/p>\n<\/div>\n<\/div>\n

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The prime minister and the chancellor have been discussing the future of the Birmingham to Manchester leg of the project against the backdrop of spiralling prices.<\/p>\n<\/div>\n<\/div>\n

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Chancellor Jeremy Hunt said last week that costs were getting “totally out of control”.<\/p>\n<\/div>\n<\/div>\n

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The June statement to Parliament included figures for how much had been spent on HS2 so far, although they were not completely up to date.<\/p>\n<\/div>\n<\/div>\n

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It said \u00a322.5bn had been spent on the London to Birmingham leg, which is mid-construction, while \u00a32.3bn had been spent on preparing other sections, on measures such as buying up land.<\/p>\n<\/div>\n<\/div>\n

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Work has been going on for a while to try and identify cost savings as concerns have mounted. <\/p>\n<\/div>\n<\/div>\n

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