HS2

Lord West of Spithead Excerpts

Thursday 13th December 2018 Lords Chamber

Asked by

[Lord West of Spithead]

To ask Her Majesty’s Government whether they have revised their estimates of (1) the cost of, and (2) the timetable for completing, HS2 following delays and increased costs in relation to Crossrail.

[Lord Young of Cookham (Con)]

My Lords, HS2 Ltd regularly reviews project plans and is currently working with its contracted suppliers to update and agree its latest cost and schedule confidence assessments for phase 1. HS2 Ltd is always examining lessons learned from major infrastructure projects, including Crossrail, to improve its understanding of the risks to delivering on time and to budget. We will publish updated cost and schedule estimates for phase 1 as part of the full business case in 2019.

[Lord West of Spithead (Lab)]

I thank the Minister for his Answer. A huge amount of money is involved. There is not much money around and things have changed. Does the Minister think that increasing capacity on the west coast main line is more important than, for example, sorting out the shambles in the civil nuclear industry and thereby safeguarding our future energy supplies for the nation? Does he think that it is more important than getting a secure GPS system to replace Galileo, from which we were so disgracefully excluded by the EU? Does he think that it is more important than resolving the funding crisis in our Armed Forces, when Russia is confronting and destabilising our nation? If so, does he not think that this is the time to pause and reconsider where this money should be spent?

[Lord Young of Cookham]

The noble Lord will know that the question of allocation of resources between a range of government departments is one taken collectively by the Cabinet and announced by the Chancellor of the Exchequer at the appropriate time. It is not for a junior Minister to comment on the allocation of public expenditure between the Ministry of Defence and a whole range of departments, including those for transport and energy. On the last part of the noble Lord’s question, I think that it is right to go ahead with this project. It is expensive, but the phase 1 funding has not increased since the spending review settlement in 2015. Phase 1 is scheduled to cost £27.18 billion in 2015 prices and we are determined to keep it within that cost estimate.