Reported £1 billion cash injection for HS2

Aerial view of HS2’s London Euston construction site (Image: HS2)

The Financial Times has reported that the UK government is to release around £1 billion (US$1.25 billion) for the work, which would end uncertainty over whether the high-speed railway line will reach its planned central London terminus at Euston.

High Speed 2, also known as HS2, has been a troubled project. Initially intended to link London to Birmingham and then Leeds and Manchester in the north of the country, UK Prime Minister Rishi Sunak cancelled “the rest of the HS2 project” during a conference in October when he announced the rail link would be ending in Birmingham.

At the same press conference Sunak announced a plan to save £6.5 billion (US$8.1 billion) from the redevelopment of the Euston terminus and tunnel link by handing responsibility to a new public-private development corporation.

The tunnelling needed to bring HS2 into the centre of London has remained an area of uncertainty after the Euston terminus redevelopment was halted over spiralling costs. 

Three reasons why costs on UK’s troubled high-speed rail megaproject HS2 have spiralled Government officials and executive in charge of delivery of HS2 give their reasons for continued cost increases on the high-speed rail megaproject.

The cash injection would allow for the tunnelling of the final 4.5 miles from the west London rail interchange at Old Oak Common to Euston.

HS2 is not expected to start running trains until between 2029 and 2033. The estimated final cost of the project is currently approximately £65 billion (US$81 billion).