Today, the Transport Secretary revealed immediate action that will stop the explosive growth of costs for HS2. This is just one of the latest government moves in rebuilding Britain’s infrastructure and ensuring projects like HS2 work for everyone.

Controlling the Budget of HS2

Since Louise Haigh started as the Transport Secretary several months ago, she has been making headlines. She quickly realized that HS2 project has been a financial disaster for years. Costs to begin the high-speed rail link have gone through the roof, and nobody is really stating why. What have been blamed are problems such as bad project management, inflation, and supply chain, but little has been done to stop it.

This, Louise Haigh has started an independent review to identify what happened and how these mistakes could be corrected. This is to bring the costs of HS2 under control and back on track.

Not Reviving Phase 2 of HS2

One thing the government said outright was that they are not reinstating Phase 2 of HS2. Phase 2 would have meant an extension from Birmingham to Manchester, but the outgoing government cancelled these plans. Not exactly buckling down in preparation for transport shock between Birmingham and Manchester because of cancelling Phase 2, the worry remains somewhat secondary to the government’s present focus: finish the line from Birmingham to London.

The government will also reinstate ministerial oversight of the HS2 project to ensure the project stays well managed going forward. This is because the Transport Secretary, Rail Minister, as well as the Chief Secretary to the Treasury, will hold regular meetings with HS2 Ltd. They will keep everything that is underway under close scrutiny in order to ensure that everything stays within and on track with budget.

This will place the firm on a regular trend of meetings, mainly to clear any challenges that may arise to deliver the HS2 project. The government, therefore, wants the railway to promise all its benefits at a cost that will not put a significant burden on taxpayers.

A Tough Challenge Ahead

Louise Haigh has not been afraid to speak frankly about how bad things are. She admitted that the HS2 project has been run into the ground over a number of years, permitting the costs to spin out of control. Since becoming Transport Secretary, she has seen firsthand just how poor things are.

“One of my first jobs as Transport Secretary has been to urgently review the position I have inherited on HS2,” Haigh said. “It is clear for a long time, one of the costs of HS2 have gone completely out of hand-but since my appointment as Transport Secretary I have had a very direct front row view of the staggering scale of delivery failures-and it’s dire. Taxpayers deserve better that HS2 is delivered in the most efficient manner and I won’t tolerate anything else.”

She had promised to work speedily to correct problems and it is for the same reason she has announced these new measures. Haigh has also pledged that tax people’s money has been prudently used, and the state won’t repeat similar mistakes made with HS2 in the future.
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The government has appointed a seasoned delivery infrastructural adviser, James Stewart, in charge of leading the independent review into HS2. He and his team will consider how the project has been managed up until now and what has to change. This entails reviewing how costs and timelines have been forecasted and reports presented to the government.

This winter, Stewart promises to publish his recommendations to the government. His findings will help ensure that key lessons are learned for HS2 but also for any other future major infrastructure project.

Review of HS2 Contractors

In addition to the independent review, the government is also bringing scrutiny to the contractors working on HS2. The incentives these contractors are enjoying may be modified or altered to ensure they are driven to deliver the project more cost-efficiently. Some contracts even may be renegotiated in case this will bring the project back in budget.

New Leadership for HS2 Ltd

Another important part is the leadership change of HS2 Ltd within the government’s plan. A new Chief Executive, Mark Wild, will be appointed in very short notice to take the helm. Mark Wild is reported to have so many experiences in dealing with big transport projects and might make quite dramatic changes.

Once in the helm, Wild will be required to give an assessment on where the project stands in terms of cost, schedule, and overall culture of HS2 Ltd. His task will be to give an action plan on delivering the remaining work at realistic budget and within an appropriate timescale.

Transparency and Accountability

The government will continue to issue reports every six months, ensuring the public is kept abreast of what is happening in terms of the HS2 project. These reports will give, without question, exactly where the project stands and whether it is staying on schedule and within budget. In other words, the view here remains full transparency and accountability for HS2 going forward.

Final Words from the Transport Secretary

That is only the latest in a series of moves by Transport Secretary to transform Britain’s railways. “Louise Haigh wants to make sure that projects like HS2 work for everyone in the country,” she said, “and I am committed to doing whatever it takes to get the job done.”.

Haigh ended by emphasizing the point that lessons must be learnt from mistakes. She said, “It is high time we make sure lessons are learned and the HS2 mistakes are not repeated again.”

As new leadership is being installed, so is the fact of having tougher oversight in place with a clear plan for the future; as such, the government hopes to finally get a hold on the HS2 project and ensure delivery of such a high-speed railway for the whole country to benefit from.