10 Mar 2023

HS2 delay is short-term thinking - Chamber

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Business leaders in Greater Birmingham are disappointed with the “short-term thinking ” behind the government 's decision to delay a key section of HS2.

Greater Birmingham Chambers of Commerce took part in high-level discussions with Minister of State for Transport Huw Merriman about plans for the high-speed rail project following an announcement that the Birmingham to Crewe leg would be delayed by a further two years.

As part of yesterday 's announcement, Transport Secretary Mark Harper also suggested Euston station 's opening could be delayed as an "affordable" design is worked on.

However, he insisted the government remains “committed ” to delivering the project in full.

Raj Kandola, head of policy and strategic relationships at Greater Birmingham Chambers of Commerce, joined the discussions with Mr Merriman alongside Greater Manchester Chamber of Commerce, the Northern Powerhouse Partnership and transport bodies Midlands Connect and the Department for Transport.

He said: “Whilst we understand the challenging fiscal position the Government currently finds itself in, we are disappointed with the short-term thinking behind this decision.

“Any additional delays are likely to add to the long-term cost of delivery, particularly as inflation is forecast to come down over the coming months.

“Yesterday, alongside key stakeholders from across the country, we met with the Rail Minister to communicate the impact of this decision.

“Here in Greater Birmingham you can see first-hand the thousands of jobs and apprenticeships the programme has already delivered and the positive momentum that has played an important role in driving confidence across the region as we emerged from the pandemic.

“Whilst it was reassuring to hear from the Mr Merriman that the Government remains committed to the project, this sentiment must be backed up by policy - the Chancellor will have the ideal platform to do this at next week's Budget.

“Levelling Up can only be realised if HS2 is backed in its entirety given the broader economic benefits it will bring the country from years to come. ”