Business leaders in Staffordshire say they are angry and disheartened about the Government’s decision to scrap the Birmingham to Manchester leg of HS2.
Prime Minister Rishi Sunak announced the decision to shelve Phase 2a and 2b, during his speech at the Conservative Party Conference yesterday, but pledged to reinvest every penny saved on other transport projects in the Midlands and the North.
But Staffordshire Chambers of Commerce said procrastination over the decision, which has gone on for months, as eroded business confidence and stifled investment.
The leading business support organisation has now called on the Government to complete Phase One of the flagship project at pace – ensuring high speed train travel all the way from Euston to the vital Staffordshire link of Handsacre, near Lichfield.
During his speech Mr Sunak said that “facts have changed” which had led to the decision to scrap the rest of the high-speed rail project.
He went on to say the £36 billion saved would be spent on “hundreds of new transport projects” across the country. These included a Midlands Rail hub connecting 50 stations in the region and upgrades to the A5 and M6. More specific details can be found in our story here.
However, the promised schemes did little to lift enthusiasm in many corners of the county and wider West Midlands and North West regions.
Staffordshire Chambers Policy Adviser Declan Riddell, pictured above, said: “We feel a sense of anger about the decision to scrap the northern leg of HS2, from Birmingham to Manchester. It feels as though Staffordshire has been passed over.
“Whilst we recognise the need to review the finances of the programme, it has taken months to come to a final decision, eroding business confidence and stifling investment.
“Businesses thrive on certainty and building HS2 in full from London to Manchester would have signalled a clear commitment to deliver on a once in a generation investment to level up our country.
“HS2 is more than just high-speed connectivity between some of the UK’s major cities. It would have created much needed capacity on the West Coast Mainline.
“We call for the construction of the Handsacre Link to be completed at the earliest opportunity. This spur of the route will connect the HS2 route with the existing West Coast Mainline, with the potential of enabling classic compatible trains to serve Stoke & Stafford in the future.”
Sir John Peace, Chairman of Midlands Connect, said: “We are disappointed and disheartened by the HS2 announcement.
“We must not start from scratch, we must work at pace to deliver HS2 Phase 1 all the way to Euston. There are also lessons to be learnt from the HS2 story so far.
“The Midlands Rail Hub and road programmes including the A5 which have been announced today resonate with us, these are our transformational East-West priorities for the region, which we recommended and have been progressing with Government.
“We are now calling for more detail on timescales and plan of action, and asking for a high-level urgent meeting with ministers, to ensure these plans and the benefits for the Midlands are delivered as quickly as possible.
“We will now work, like we always do, cross-party and in an open and collaborative way with all involved.”
Among the new scheme pledges made by Rishi Sunak, pictured above, in his speech are:
- Protecting the £12bn to link up Manchester and Liverpool as planned – (without high speed rail)
- Building a Midlands Rail Hub, connecting 50 stations
- Extending the West Midlands Metro
- Building the Leeds tramway and electrifying the North Wales main line
- Upgrading the A1, the A2, the A5 and the M6
- Resurfacing roads across the country
Many commentators had reported that HS2 phase one would be changed so that trains terminated at Old Oak Common, at a transport hub, in the suburbs of West London.
But the Prime Minister confirmed the high-speed line will run to Euston as originally planned but a new management company will take over the construction of this section from HS2 as part of a newly-formed Euston Development Zone.
Despite the consternation, from many quarters, HS2 Phase 2 has always divided opinion. Many of the area’s MPs were totally opposed to the scheme as were businesses and property and land owners affected by the route it would take.
Cost has always been an overriding issue. The last official estimate on HS2 costs, excluding the cancelled eastern section, added up to about £71 billion – but that was in 2019.
Staffordshire County Council leader Alan White said: “Although we have been opposed to HS2 from the outset, we have remained committed to mitigating both the impact on this county and our people and to maximising the economic benefits to Staffordshire.
“While we understand that there has to be a ceiling to costs of such major infrastructure projects, HS2 has already had a significant, irreversible impact on this county.
“It is important Phase One is now completed as planned and the promised shorter journey times for residents are delivered and the wider growth plans for Stafford fulfilled.
“We will of course closely monitor future developments, including additional investment in Midlands infrastructure projects, and their potential impact on people and businesses in Staffordshire.”
Analysis of some of the transport schemes being pledged for Staffordshire and the wider West Midlands, in the wake of the HS2 Phase 2 cancellation, can be found in our story here.
