HS2 project ‘economically flawed’
20th July 2011A fresh report has slammed the Government’s HS2 high-speed rail proposals as a “political vanity project”.
The Institute of Economic Affairs (IEA) said that the £32 billion scheme is based on “bogus assumptions” and is ”economically flawed”.
Under the Government’s HS2 proposals, by 2026 a high-speed rail line will be constructed from London to Birmingham, with the planned route cutting through countryside landscapes in Tory heartland.
Plans have also been drawn up to extend the line up to Manchester and Leeds – with potential for it to be taken further north – by 2032/2033.
According to the report, the project’s cost is not commercially viable and will result in every income tax payer contributing £1,000.
IEA deputy editorial director Dr Richard Wellings, a co-author of the report, said: “HS2 is another political vanity project – like Concorde and the Millennium Dome – being ploughed ahead with complete disregard for properly thought through commercial prospects or the mounting opposition to it.”
The report questioned the “green” credentials of the scheme, noting that when travelling at 225mph, the trains will use up disproportionate levels of power through the National Grid.
It also said that the cost of the first five miles of the route, from Euston in London to Old Oak Common, will swallow almost a quarter of the first phase budget, but will not deliver the necessary time savings.
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