The HS2 cost for taxpayers could top £90bn, warns the TaxPayers’ Alliance
HS2 costs could top £90bn, if the high-speed rail project follows in the footsteps of other government-managed, large infrastructure projects, according to a think tank.
The TaxPayers' Alliance has warned that taxpayers should "take no comfort" in government insistence that HS2 will be delivered on budget, given an "appalling track record".
Ministers had said the London 2012 Olympics as evidence they can deliver big projects to budget, but the TPA said the final cost was £9.3bn, from an original budget of £2.4bn.
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It has compiled a list of other transport infrastructure projects and analysed what HS2 will cost if it goes over budget as those have done, with the lowest estimate, £90.8bn. If it overran to the same extent as the London Olympics, the cost would be £99.9bn.
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How HS2's cost could escalate if it goes over budget to the same degree as other transport projects:
|
Project |
Overrun |
Projected cost (£bn, 2016 prices) |
|
Minneapolis Hiawatha light rail line |
190 per cent |
164,599,070,000 |
|
Humber Bridge |
180 per cent |
158,923,240,000 |
|
Copenhagen Metro |
150 per cent |
141,895,750,000 |
|
Boston–New York–Washington Railway |
130 per cent |
130,544,090,000 |
|
London Limehouse Road Tunnel |
110 per cent |
119,192,430,000 |
|
London Jubilee Line extension |
80 per cent |
102,164,940,000 |
|
Channel Tunnel |
80 per cent |
102,164,940,000 |
|
London Olympics |
76 per cent |
99,894,608,000 |
|
High-speed Rail Line South, The Netherlands |
60 per cent |
90,813,280,000 |
A spokesperson for the Department for Transport (DfT) said: "HS2 will become the backbone of our national rail network – creating more seats for passengers, supporting growth and regeneration and helping us build an economy that works for all. We are keeping a tough grip on costs and the project is on time and on budget at £55.7bn."
John O'Connell, chief executive of the TaxPayers' Alliance, said:
It beggars belief that the government seems set to plough ahead with the first phase of this hugely expensive vanity project. Instead, politicians should opt for smaller, more effective infrastructure projects which would actually benefit the economy and help drivers, commuters, businesses and taxpayers.
All the evidence shows that big government projects are delivered way over budget and almost never to deadline, so to allocate tens of billions of taxpayers' money to this white elephant is a big mistake.