The UK government has confirmed it will accept all recommendations of the James Stewart review into the HS2 project, with Transport Secretary Heidi Alexander unveiling a reset plan that aims to restore control and rebuild public confidence.
The review, commissioned in October 2024, highlighted long-standing issues in the management of HS2. It identified a pattern of weak ministerial oversight, poor cost control, and ineffective commercial arrangements with suppliers. According to the report, these failures have contributed to delays and significant cost overruns, with an estimated 37 billion GBP in additional expenditure and a further 2 billion GBP lost following the cancellation of Phase 2.
Addressing Parliament, the Transport Secretary acknowledged the report’s findings, describing them as evidence of “historic mishandling.” She confirmed that the government would adopt all five of Mr Stewart’s key recommendations to stabilise the project and ensure it delivers value for money.
Measures in progress include:
- Restored ministerial oversight: A reconstituted HS2 Taskforce now meets regularly with senior departmental officials and ministers to improve accountability.
- Stricter financial controls: HS2 Ltd’s ability to make spending decisions without direct government approval has been curtailed, with a focus on achieving savings through revised supplier incentives.
- Leadership changes and organisational reform: Mike Brown has been appointed as Chair of HS2 Ltd, joining recently installed CEO Mark Wild. Together they are leading efforts to restructure the company, reassess construction contracts, and review the project’s overall timeline and budget.
- Clarification of the Euston station plans: The government has allocated funding to begin tunnelling between Old Oak Common and Euston, with further updates on the station’s delivery to follow.
- Lessons for future infrastructure delivery: The findings of the Stewart review will inform the government’s forthcoming 10-Year Infrastructure Strategy, which aims to improve planning and execution across major capital projects.
To assist in this reset, Mike Brown brings extensive experience from previous roles, including delivering major upgrades to London Underground and supporting rail operations for the 2012 Olympics. Mark Wild, meanwhile, is known for overseeing the final stages of the Elizabeth line after years of delay.
An initial review by Wild, also published today, concluded that HS2 in its current form is not sustainable in terms of cost, schedule, or scope. He confirmed that the previous target of completing Phase 1 by 2033 is no longer viable and emphasised the need for a realistic reassessment of deliverables.
Transport Secretary Heidi Alexander said:This must be a line in the sand. This government is delivering HS2 from Birmingham to London after years of mismanagement, flawed reporting and ineffective oversight.
Mark Wild and Mike Brown were part of the team, with me, that turned Crossrail into the Elizabeth Line – we have done it before, we will do it again.
Passengers and taxpayers deserve new railways the country can be proud of and the work to get HS2 back on track is firmly underway.
Despite its challenges, the HS2 project continues to support economic activity across the UK. HS2 currently sustains more than 33,000 jobs and works with over 3,400 businesses in all parts of the country. Major construction milestones have been achieved, including over 44 miles of tunnelling and the completion of the Colne Valley Viaduct deck, set to be the UK’s longest rail bridge.
Once completed, HS2 aims to provide high-speed rail services between London and the West Midlands, with improved journey times to the North West and Scotland. Independent estimates suggest the railway could contribute around 20 billion GBP to the economies of west London and the West Midlands and generate tens of thousands of new jobs.
Further updates on revised costs and delivery schedules are expected at the end of the year.
