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Sun November 03 2024

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HS2 has already spent £1.25bn on Phase 2 contracts

10 Oct 23 An analysis of expenditure for the scrapped Birmingham-Manchester HS2 line reveals that more than £1bn has already been spent on design and pre-construction works.

The Department for Transport, which publishes High-Speed 2's invoices, has released invoices that mention Phase 2 more than 5,500 times, with a combined value of more than £1.25bn.

The analysis was conducted by Tussell, a consultancy that monitors government contracts.

Ove Arup has already received £272m for invoices related to the second phase, while MWJV – a joint venture of Mace and Ward Williams – has received £243m.

Other companies to have earned tens of millions from the scrapped scheme include Balfour Beatty Civil Engineering (£192m), Aecom (£95m), Bechtel (£78m) and WSP (£69m).

According to the description on the invoices, £219m accounts for "AUC [assets under construction] - Phase 2A", a further £179m for "P20200 - Phase 2B" and another £138m  related to "Professional services", largely for Phase 2B.

Prime minister Rish Sunak announced the cancellation of the northern leg of HS2 last week, and committed to spending the saved £36bn on other transport projects around the country that demonstrated better value for money. [See our previous report here.]

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