Question to the Department for Transport:

To ask the Secretary of State for Transport, what proportion of the risk of construction cost overruns for the Lower Thames Crossing would be borne by (a) taxpayers and (b) private investors under the Regulated Asset Base model.

The Regulated Asset Base (RAB) model, which is the preferred financing option for the Lower Thames Crossing, is designed to reduce taxpayer exposure to funding risks. Regulatory oversight ensures transparency, fair pricing, and performance standards throughout the life of the asset to promote financial sustainability and user interests. The precise risk allocation for construction cost overruns between users, private investors and contractors has not yet been finalised and is subject to further development but will be primarily based on precedents from other projects undertaken through RAB models.