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Fresh questions over HS2 benefits as PM faces rebellion MPs urged to back HS2 rail link as PM faces rebellion
(about 2 hours later)
Fresh questions have been raised about the economic case for the HS2 high-speed rail link as David Cameron faces a backbench rebellion in the Commons. The UK cannot "duck a decision" over the new HS2 high-speed rail link, MPs have been told as David Cameron faces a backbench rebellion in the Commons.
A study by centre-right think tank the Institute of Economic Affairs said the north of England would not see the kind of economic benefits promised. As MPs debated the plans, Transport Secretary Patrick McLoughlin said critics must be listened to but the project "deserved" to go ahead.
At least 30 Conservative MPs said they would vote against or abstain at the HS2 bill's second reading on Monday. At least 30 Conservative MPs said they would vote against or abstain on the legislation relating to HS2.
The vote is expected to be carried with support from Labour MPs.The vote is expected to be carried with support from Labour MPs.
Mr Cameron said it was important to put in place "the best infrastructure for the future". Last June, 21 Conservative backbenchers opposed the government in a Commons vote laying the groundwork for HS2 and the size of the rebellion is expected to be larger on Monday.
"This scheme has all-party support and I expect a big vote in favour of it in the House of Commons tonight," he continued. The High Speed Rail (London - West Midlands) Bill 2013-14, being debated at second reading by MPs, would:
"Let's be clear why we are doing it - the west coast mainline is full, the capacity has run out. Speaking in Parliament, Transport Secretary Patrick McLoughlin said the concerns of critics of the project must be addressed and that references to opponents as "either Luddites or nimbys" were unhelpful.
"So we have a choice as a country. Do we build another standard railway line or do we build a high-speed railway that can massively add to the capacity of our country, help bring an end to the North-South divide and help make sure all our country shares in future prosperity?" But he said there was an urgent need for new rail capacity and the plan would deliver better connectivity and wider economic benefits to the whole of the UK.
Labour's support for HS2 had been in doubt because of rising costs, but shadow transport secretary Mary Creagh said the party "had had another look" to check it still provided value for money and confirmed: "We're backing the project." 'Careful scrutiny'
The High Speed Rail (London - West Midlands) Bill 2013-14: He said all the available alternatives to the proposed route had been considered and the most thorough environmental impact assessment of any infrastructure project had been undertaken.
The Institute of Economic Affairs (IEA) said the government risked misleading the public with claims that HS2 would transform the north of England. "This is a decision which we cannot duck. We have waited long enough," he said.
The report's author, Richard Wellings, told BBC Radio 4's Today programme the project may be of benefit in certain specific areas but he was "sceptical about these very ambitious claims that it is going to be transformative, it is going to tackle the north-south divide, it is going to turn northern cities into world leaders". "Built right, on time and on budget, HS2 can help our great cities thrive... This project deserves careful scrutiny but Britain deserves it to go ahead."
He said employment levels in east Kent had fallen by three percentage points since the opening of the High Speed One line in the county while Doncaster remained one of England's least well off areas despite rapid increases in rail speeds to London. A number of ministers whose constituencies lie on the proposed route - including Europe Minister David Lidington and Attorney General Dominic Grieve - have been given permission to miss Monday's vote.
Mr Wellings said that instead of building HS2 the government should improve local and regional links in the north of England. And recently appointed Treasury minister Andrea Leadsom, who has spoken out against the project in the past, is in Brussels and will not be present in the Commons.
He said a cross-Pennine project linking Sheffield, Leeds and Manchester could bring clustering or agglomeration benefits from creating a single labour market. But a number of MPs have been stating their opposition to HS2 during a debate scheduled to last six hours.
For longer distance travel, he said the existing West Coast Main Line could be upgraded "at relatively low cost... a fraction of the cost of HS2". 'Broad consensus'
Conservative MP for North West Leicestershire Andrew Bridgen said 240,000 people living within a mile of the proposed route were not entitled to compensation and would be "trapped in houses they cannot sell".
Former cabinet minister Cheryl Gillan, who has tabled an amendment designed to derail the proposed legislation, said the £42.6bn project would threaten much-needed investment on the rest of the railway.
"I started as a nimby but I have looked at this project and I do not believe it is the best answer to the UK's transport problems," the Chesham and Amersham MP said.
"Is this really a top priority and the best way to spend almost £50bn worth of taxpayers' money?"
Labour's Barry Sheerman, MP for Huddersfield, said that, rather than spreading economic benefits more widely across the UK, it would "suck more powers to London and the South East".
'Another look'
Labour's support had been in doubt because of rising costs, but shadow transport secretary Mary Creagh said the party "had had another look" to check it still provided value for money and would support the plan.
Although the government had mismanaged the project since it inherited it from the previous Labour administration in 2010, Ms Creagh said it was reassured that it was still needed.
"We have a broad consensus across the parties that this is the right thing for the nation and I hope we can proceed on that basis," she said.
But in a new report, The Institute of Economic Affairs (IEA) said the government risked misleading the public with claims that HS2 would transform the north of England.
The report's author, Richard Wellings, told BBC Radio 4's Today programme he was sceptical about claims that HS2 would be "transformative, it is going to tackle the north-south divide".
Alternatives
Mr Wellings said that instead of building HS2 the government should improve local and regional links in the north of England, including a cross-Pennine project linking Sheffield, Leeds and Manchester.
The Department for Transport said the IEA report was "flawed" and "simply wrong to say High Speed 1 hasn't brought significant benefits" to places like Ashford.The Department for Transport said the IEA report was "flawed" and "simply wrong to say High Speed 1 hasn't brought significant benefits" to places like Ashford.
It said "the IEA's apparent argument that the example of Doncaster shows we shouldn't bother investing in better transport links is just bizarre".
The commercial secretary to the Treasury, Lord Deighton, said: "We have not built a new railway north of London for over 100 years. We need to transform a Victorian railway with Victorian capacity and capability into a 21st Century railway."
But he said he agreed with the IEA that attention should be paid to local links in northern England as part of a broader programme of rail improvements.
"In [HS2] phase two, in the north, we need to be much more attentive to the west-east connections. More work needs to be done on that. Everybody accepts that point and you'll see that in the response the government gives to the phase two consultation."
Overcrowding
Meanwhile, the British Chambers of Commerce (BCC) has called on the government to speed up construction of the line.Meanwhile, the British Chambers of Commerce (BCC) has called on the government to speed up construction of the line.
The BCC urged all political parties to set aside their short-term differences and Parliament to approve progress on the scheme quickly.The BCC urged all political parties to set aside their short-term differences and Parliament to approve progress on the scheme quickly.
It also said HS2 would reduce problems of overcrowding, delays and cancellations.
Former Welsh secretary Cheryl Gillan, who is among the Tory rebels, said the bill still had a long way to go.
She said: "First of all, it's got to get through its committee stage in front of the hybrid bill committee then it has to have report stage and third reading in the House of Commons.
"It then has to go to the Lords and go through a similar process. So this bill will not be through before the general election and it will depend on the government of the day as to whether it is continued or whether it is at that stage abandoned."
'Costs under control'
Shadow transport secretary Mary Creagh confirmed that Labour would be backing the bill.
She said: "With the costs going up we had to look again at it. We had that look and we're backing the project.
"There are a lot of my shadow cabinet colleagues where it goes through their constituencies and they are absolutely right to raise those local issues.
"The Phase Two route consultation closed in January. We've got to see what changes, if any, there are to that route and the government needs to get on and spell out what they are.
"But what we're also saying is we know there is a 2.3 cost benefit analysis, so you get 2.3 pounds back for every pound that you put in.
"We've got to invest in our transport infrastructure but we've got to keep costs under control as well."
Both phases of the HS2 link are expected to cost £42.6bn, including contingencies, with another £7.5bn for trains.Both phases of the HS2 link are expected to cost £42.6bn, including contingencies, with another £7.5bn for trains.
Last June, 21 Conservative backbenchers opposed the government in a Commons vote laying the groundwork for HS2.
Since then ministers have been trying to win over doubters but their efforts appear to have faltered, with the number of opponents apparently increasing.
BBC Radio 4's The World This Weekend canvassed the views of more than 100 backbench Conservative MPs - 25 said they planned to vote against the bill and another five said they would abstain.