HS2 high-speed rail plans ‘a recipe for disaster’

Institute of Economic Affairs dismisses Cameron-backed £32bn High Speed Two proposal as a ‘political vanity project’ The proposed £32bn north-south high-speed rail link is “economically flawed” and based on bogus calculations, a leading free-market thinktank has warned. The Institute of Economic Affairs added some intellectual weight to the vociferous local criticism of the High Speed Two route, whose first phase between London and Birmingham is due to open around 2026, followed by a link to Manchester and Leeds in 2032. In a scathing assessment of the plans, which originated under the previous government but have the full backing of David Cameron, the IEA dismissed the scheme as a “political vanity project” that will require a contribution of £1,000 per taxpayer. The report’s co-author, Dr Richard Wellings, said the project was a “recipe for disaster”. Drawing comparisons with Concorde and the Millennium Dome, he said: “Its environmental credentials are questionable, its projected passenger figures suspect, and its proposed regenerative effects highly dubious. Proceeding with HS2 plans is a recipe for disaster and, as always, it will be the forever-embattled British taxpayer who will end up footing the bill for this latest white elephant.” According to the government, the west coast mainline will be overwhelmed by passenger demand if HS2 is not built. Its high-speed rail consultation forecasts that the line between London and Manchester will produce passenger growth of 60% by 2024, while demand on the east coast and midland mainline will increase by 70% over the next three decades. The Campaign for High Speed Rail group said the IEA research was weak. Referring to the £1,000 claim, the group said: “This is a massively misleading oversimplification because it doesn’t take into account the significant financial returns that will be generated from an investment in high-speed rail.” The government estimates that HS2 will generate net economic returns of £44bn. Rail transport Transport Transport policy Dan Milmo guardian.co.uk

Posted by on July 19, 2011. Filed under News, Politics, World News. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.