HS2 rail project will rebalance UK economy: Businessmen  

By Nadeem Badshah

LEADING businessmen have backed the High Speed 2 (HS2) rail project despite the controversies over its spiralling budget.

Boris Johnson recently gave the green  light for the route London to Birmingham, Manchester, and Leeds.

Supporters of the plan say it will improve transport times, reduce overcrowding, create jobs and rebalance the UK’s  economy. But the project, which is due to be completed by 2040, has been dogged by claims of mismanagement and delays.

In 2015, it was estimated the cost of the network would be £56 billion but a review has warned it could rise to up to £106 billion. And ministers have warned the trains may run slower in the north to save costs and part of the route from Warrington to Wigan could be axed to reduce the estimated £106 billion bill.

Ramesh Sharma, director of Media Ventures International, told Eastern Eye: “HS2 is understandably controversial, not just because of the spiralling costs but also because people are being forced to leave their homes to make way for it.

“In truth, it’s been a PR disaster for the government. Whatever one may think about HS2, few people would disagree that Britain’s transport infrastructure re-quires improvement – perhaps because we’re a relatively small nation in terms of size, high-speed transport links have not been prioritised over recent decades, leaving the North, Midlands and South all quite detached from one another.

“It’s important we address this issue, making it easier for businesses and consumers to think bigger.

“We should be able to travel, commute, trade and work without such restrictive boundaries. Hopefully, once HS2 is actually operational, this vision will be realised, as I believe the UK economy and the UK public will benefit as a result.”

HS2 trains will have a top speed of 225mph on straight stretches of track which is around 60 per cent of the line from London to Birmingham but less far north.

Johnson has vowed to look at integrating HS2 with the proposed Northern Powerhouse Rail link between Liverpool, Manchester, Leeds and Newcastle.

Paresh Raja, CEO of Market Financial Solutions, said he was in favour of any project that will better connect London to the rest of the country.

He told Eastern Eye: “While plenty of attention is placed on the capital when it comes to business and investment opportunities, the Midlands and the North are fast becoming popular locations, whether that’s for property investment, entrepreneurialism or trade.

“Better infrastructure  through projects like HS2 will almost certainly improve the attractiveness of the various cities on the train line, encouraging more  investment in the regions  and providing new opportunities.

“The big question now is whether the government is actually capable of delivering such a large infrastructure project on time and without the costs continuing to climb upwards.

“So far, the signs haven’t been promising. What’s more, with the resignation of Sajid Javid as chancellor, there  are  broader  doubts over Johnson’s ability to effectively commit to such projects. Only time will tell.”

The first HS2 trains, between Old Oak Common in west London and Birmingham, could be running by 2029.

Khalid Mahmood, Labour MP for Birmingham Perry Barr, believes the government has “no idea” about the cost of the whole project.

“My constituents in Birmingham whose land have been acquired where they were running businesses, have not been paid in three years for that land and have had to take out loans and mortgage their homes to continue those businesses, particularly in the Alum Rock area,” Mahmood said.

“The problem is going to be ongoing. We want new transport infrastructure but the costs being unchecked from the original cost is absolutely horrendous.

“My big fear is will the government be able to complete it and will the costs be worthwhile?” he said.

“If the government is restricted by costs due to Brexit, some things have to go, this project could be curtailed or halted,” Mahmood added.