HS2: Labour mayors join forces to make plea for northern leg to PM

Published

1 year ago

September 27, 2023

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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.

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

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.

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.”

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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Starmer says ‘US is right’ about UK and Europe needing to take more responsibility for defence

Published

2 hours ago

February 23, 2025

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Starmer says 'US is right' about UK and Europe needing to take more responsibility for defence

Sir Keir Starmer has said the United States “is right” about the UK and Europe needing to take more responsibility for defence and security.

The prime minister, speaking at the Scottish Labour conference in Glasgow on Sunday, said he is clear Britain “will take a leading responsibility” in protecting the continent.

“Instability in Europe always washes up on our shores,” he said.

“And this is a generational moment. I’ve been saying for some time that we Europeans – including the United Kingdom – have to do more for our defence and security. The US is right about that.”

He added “we can’t cling to the comforts of the past” as it is “time to take responsibility for our security”.

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Donald Trump sparked an emergency meeting of European leaders this week after he said European NATO members should spend more on defence, while the US should spend less.

Sir Keir has said he will set out a path for the UK to spend 2.5% of GDP on defence, up from the current 2.3%, but has not indicated when that will be.

It is believed he may announce the details when he visits Mr Trump in Washington DC on Thursday, bringing forward the announcement that was expected in the spring when a defence spending review is published.

The prime minister reiterated the UK will “play our role” if required in Ukraine following a peace agreement after he earlier this week said the UK would send troops to be part of a peacekeeping force.

However, his comments caused a row with Germany and Italy who said it was premature to commit to boots on the ground, although France agreed with the UK.

Sir Keir said: “As we enter a new phase in this conflict, we must now deepen our solidarity even further.”

He added: “There can be no discussion about Ukraine without Ukraine.

“And the people of Ukraine must have long-term security.”

This week has seen US officials meet their Russian counterparts in Saudi Arabia to discuss Ukraine – which has been met with indignation by Ukrainian President Volodymyr Zelenskyy as none of his team were invited.

No Europeans were invited either, sparking concern the US is pandering to Vladimir Putin.

Sir Keir has promised Mr Zelenskyy he will make the case for safeguarding Ukraine’s sovereignty when he meets with Mr Trump, who has called the Ukrainian president a dictator.

Mr Trump also said Sir Keir and French President Emmanuel Macron, who will visit the White House too this week, “haven’t done anything” to end the war.

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Starmer announces £200m for Grangemouth

Published

4 hours ago

February 23, 2025

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The prime minister has announced £200m for Grangemouth ahead of the closure of Scotland’s last oil refinery.

Sir Keir Starmer, speaking at the Scottish Labour conference on Sunday, said the cash would come from the National Wealth Fund for an “investment in Scotland’s industrial future”.

Grangemouth oil refinery, on the banks of the Firth of Forth, is set to cease operation this summer and transition into an import terminal, making 400 workers redundant.

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Sir Keir said: “We will grasp the opportunities at Grangemouth, work alongside partners to develop viable proposals, team up with business to get new industries off the ground and to attract private investors into the partnership we need.

“We will allocate £200m from the National Wealth Fund for investment in Grangemouth.”

The money comes on top of a £100m “growth plan” already in place for the area.

Scotland’s first minister, the SNP’s John Swinney, welcomed the announcement and said it is “important that the Scottish and UK governments work together on securing the future for the workforce”.

Sir Keir said the new investment will be a partnership with the private sector, and he is expecting three times the amount the government is putting in to come from private investors.

The prime minister said he believes the transition to clean energy is a “golden opportunity for Britain, especially for Scotland”, and is essential for national security as it “gets Putin’s boots off our throat”.

However, he said oil and gas are also “vital for our security” so will be “part of the future of Scotland for decades to come”.

As well as the investment in Grangemouth’s future, Sir Keir said every person made redundant will get 18 months full pay and a skills and training offer “backed up with up to £10m”.

Any business in Grangemouth that takes on those workers will get National Insurance relief, he also said.

Petroineos, which owns Grangemouth, announced last September it was to close Grangemouth by this summer because it was unable to compete with sites in Asia, Africa and the Middle East.

The refinery is understood to have been losing about £395,000 a day when it made the announcement and was on course to lose about £153m this year.

The company said the decision would “safeguard fuel supply for Scotland” by converting the site into a terminal able to import petrol, diesel, aviation fuel and kerosene into Scotland.

However, it said that would only need a workforce of fewer than 100 employees.

Petroineos announced its intention to close the plant in November 2023 but union leaders had hoped it could remain open for longer to provide time for a green alternative to be established there.