The government has admitted that it may delay some plans to modernise parts of the UK rail network.
Transport secretary Patrick McLoughlin said that rising costs and failure to hit targets by Network Rail have made the £38.5 billion plan untenable and has commissioned a new strategy for these improvements.
Projects such as the electrification of the Midland mainline between London and Sheffield and on the Trans-Pennine route between Leeds and Manchester will be “paused”. Although electrification of the Great Western line from London to Swansea remains a “top priority”.
McLoughlin criticised Network Rail’s management and announced that current London transport commissioner Sir Peter Hendy would be taking over as chairman of Network Rail from Richard Parry-Jones, who is stepping down.
“Important aspects of Network Rail’s investment programme are costing more and taking longer,” said McLoughlin. “Electrification is difficult. The UK supply chain for the complex signalling works needs to be stronger.
“Construction rates have been slow. It has taken longer to obtain planning consents from some local authorities than expected. But that is no excuse - all of these problems could and should have been foreseen by Network Rail.”
McLoughlin said that Hendy would be developing new proposals by the autumn for “how the rail upgrade programme will be carried out”.
He added that none of Network Rail’s executive directors would be receiving a bonus for the past year.
Network Rail’s chief executive Mark Carne told the BBC that the task of delivering all the planned rail improvements had been “overwhelming”.
“I think it's time to level with the public and say that some of these extraordinary projects that we absolutely need are going to take longer and are going to cost more than we originally thought,” added Carne.
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