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Five Labour mayors have come together to appeal to the prime minister not to scrap the northern leg of HS2, saying such a move would lead to “economic damage” across the regions.

The future of the high-speed rail line has been in doubt over recent days after reports Rishi Sunak and his Chancellor Jeremy Hunt were planning to cancel the line between Birmingham and Manchester due to soaring costs.

But in a joint statement London’s Sadiq Khan, Great Manchester’s Andy Burnham, West Yorkshire’s Tracy Brabin, South Yorkshire’s Oliver Coppard and Liverpool’s Steve Rotheram said that without delivering the project in full, the government would “leave swathes of the North with Victorian transport infrastructure that is unfit for purpose”.

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Mr Sunak did nothing to quell fears on Monday that he was preparing to either cancel or delay the line, and he has told allies he was not prepared to watch the cost continue to rise, according to The Times

The newspaper said he was concerned about a lack of cost controls and high salaries at the company overseeing the project after he was shown figures suggesting the overall price could top £100bn.

Mr Sunak is also said to be considering terminating the line in the west London suburb of Old Oak Common rather than in Euston, in the centre of the capital, to save money.

More on Birmingham

But the announcement, which had been expected ahead of the Conservative Party conference this weekend, has yet to surface.

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Andy Burnham rages at HS2 scrapping rumours

In a statement released on Wednesday, the regional mayors said they had been “inundated” by concerns from businesses, and curtailing the line would mean HS2 would “fail to produce any meaningful economic benefit”.

“This government has said repeatedly that it is committed to levelling up in the Midlands and North,” they added.

“Failure to deliver HS2 and [Northern Powerhouse Rail] will leave swathes of the North with Victorian transport infrastructure that is unfit for purpose and cause huge economic damage in London and the South, where construction of the line has already begun.”

HS2 was first touted by Labour in 2009, but it was the coalition government that signed off on the plan, designed to connect the South, the Midlands and the North of England with state-of-the-art infrastructure.

If the Manchester leg is axed it would be the latest watering down of the project, with the eastern leg to Leeds scrapped entirely and work between Birmingham and Crewe delayed due to the impact of inflation.

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Rishi Sunak on HS2 ‘speculation’

Some estimates have put the total cost at over £100bn, while the project has been rated “unachievable” by the infrastructure watchdog.

But as they asked for a meeting with Mr Sunak, the mayors said: “The UK does not need a new line that only goes from Birmingham to Old Oak Common, which is six miles from central London. Birmingham does not want this. London does not want this. This does nothing for the North of England.

“The full Y-shaped HS2 plan was designed to deliver economic benefit right across the country not only between the North and London, but between Leeds, Sheffield, Manchester and Birmingham. All of these gains look set to be lost if media reports this week are to be believed.”

They added: “It has been suggested that around £25bn has already been spent on HS2. We agree on the importance of ensuring public money is well spent but it will be an international embarrassment and a national outrage if all this gets us is a line that leads to journeys slower than the current one between Birmingham and London and nothing more.”

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But it isn’t just Labour politicians angered by the possible downscaling of the project.

Tory former chancellor George Osborne and ex-Conservative deputy prime minister Lord Heseltine were among grandees warning that scrapping the Manchester route would be a “gross act of vandalism” which would mean “abandoning” the North and Midlands.

And Norman Baker, a former Lib Dem transport minister who signed off HS2 during the coalition government, called for an inquiry into the chaos of the project “to make sure it doesn’t happen again”.

Asked by Sky News on Wednesday whether HS2 would be given the green light to go to Manchester, Culture Secretary Lucy Frazer said it was “a decision for the chancellor”.

She added: “I’m sure the prime minister and chancellor listen to a wide variety of voices, but as you will know, it is the responsibility of government to keep all projects under consideration.

“And that is what the chancellor is doing, as he has done on all matters which are spending billions of pounds of taxpayer funding, looking at a whole range of projects to make sure they are value for money.”

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Gensler separates Bitcoin from pack, calls most crypto ‘highly speculative’

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Gensler separates Bitcoin from pack, calls most crypto ‘highly speculative’

Former US Securities and Exchange Commission Chair Gary Gensler renewed his warning to investors about the risks of cryptocurrencies, calling most of the market “highly speculative” in a new Bloomberg interview on Tuesday.

He carved out Bitcoin (BTC) as comparatively closer to a commodity while stressing that most tokens don’t offer “a dividend” or “usual returns.”

Gensler framed the current market backdrop as a reckoning consistent with warnings he made while in office that the global public’s fascination with cryptocurrencies doesn’t equate to fundamentals.

“All the thousands of other tokens, not the stablecoins that are backed by US dollars, but all the thousands of other tokens, you have to ask yourself, what are the fundamentals? What’s underlying it… The investing public just needs to be aware of those risks,” he said.

Gensler’s record and industry backlash

Gensler led the SEC from April 17, 2021, to Jan. 20, 2025, overseeing an aggressive enforcement agenda that included lawsuits against major crypto intermediaries and the view that many tokens are unregistered securities.

Related: House Republicans to probe Gary Gensler’s deleted texts

The industry winced at high‑profile actions against exchanges and staking programs, as well as the posture that most token issuers fell afoul of registration rules.

Gary Gensler labels crypto as “highly speculative.” Source: Bloomberg

Under Gensler’s tenure, Coinbase was sued by the SEC for operating as an unregistered exchange, broker and clearing agency, and for offering an unregistered staking-as-a-service program. Kraken was also forced to shut its US staking program and pay a $30 million penalty.

The politicization of crypto

Pushed on the politicization of crypto, including references to the Trump family’s crypto involvement by the Bloomberg interviewer, the former chair rejected the framing.

“No, I don’t think so,” he said, arguing it’s more about capital markets fairness and “commonsense rules of the road,” than a “Democrat versus Republican thing.”

He added: “When you buy and sell a stock or a bond, you want to get various information,” and “the same treatment as the big investors.” That’s the fairness underpinning US capital markets.

Related: Coinbase files FOIA to see how much the SEC’s ‘war on crypto’ cost

ETFs and the drift to centralization

On ETFs, Gensler said finance “ever since antiquity… goes toward centralization,” so it’s unsurprising that an ecosystem born decentralized has become “more integrated and more centralized.”

He noted that investors can already express themselves in gold and silver through exchange‑traded funds, and that during his tenure, the first US Bitcoin futures ETFs were approved, tying parts of crypto’s plumbing more closely to traditional markets.

Gensler’s latest comments draw a familiar line: Bitcoin sits in a different bucket, while most other tokens remain, in his view, speculative and light on fundamentals.

Even out of office, his framing will echo through courts, compliance desks and allocation committees weighing BTC’s status against persistent regulatory caution of altcoins.

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