HS2 is a “wasteful vanity project” that should be scrapped, according to the Taxpayers Alliance (TPA).
In a new report the campaign think tank said the business case for the high speed rail project has fallen apart and “massively over budget”.
Phase one of HS2 is expected to be completed by around 2026. It will cut through Oxfordshire and Buckinghamshire and reduce journey times between London and Birmingham by 32 minutes.
A second Y-shaped phase, taking the line to north-east and north-west England and beyond, is due to be completed by around 2032/33.
The key findings of the TPA study are:
- Projected costs are rising and are likely to be almost £90 billion
- The business case is flawed and hugely overstates the case for HS2
- Demand for travel on HS2 is uncertain
- Timely delivery of the project is very unlikely
- Other proposals would provide greater value for money than HS2’s Phase One
- HS2 is unlikely to help develop the economy of North England to the extent that has been suggested.
- The need for increased travel capacity could well be met by new technologies
The Alliance said with a new Prime Minister in office, the government should scrap HS2 and focus on other infrastructure projects across the UK with “much better benefit/cost ratios”.
“Seizing the opportunity now will help drive growth and boost productivity in other regions of the UK outside London,” it added.
Jonathan Isaby, Chief Executive of the TaxPayers' Alliance, said: "HS2 is a wasteful vanity project which is unlikely to be completed on schedule and will cost taxpayers a fortune.
“The new Prime Minister should now be pursuing bold and imaginative policies to boost economic growth and increase productivity – and that positive approach must include scrapping HS2, which has cost taxpayers far too much already.
“Ministers should instead be embarking on more worthwhile infrastructure projects that will cost less and deliver far better value," said Isaby.
A department for transport spokesperson said the case for HS2 is clear and will create jobs and skills that will benefit the UK economy long-term.
“The economic benefit of HS2 has been recognised by MPs of all parties and is strongly supported by Northern and Midlands cities.
“The National Audit Office has confirmed HS2 is on track and the Transport Select Committee also said it is confident the scheme is the only practical way to significantly increase rail capacity.
“We keep a tough grip on costs and are on schedule to deliver the scheme on time and budget,” the DFT said.
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