Out-Law News 1 min. read
01 Nov 2013, 11:10 am
The House of Commons voted to approve the High Speed Rail (Preparation) Bill on Thursday by 350 to 34. The House of Lords has still to give its backing to the proposals.
Under the Bill the Government would have the power to "incur expenditure in preparation" for construction envisaged under the High Speed 2 (HS2) project. The costs permitted under the Bill include those associated with preparing for the building of new railways lines, such as in surveying and design work. It also sanctions the purchase of land on the planned route.
HS2 is due to be delivered in two phases, with the initial London to Birmingham phase of the line scheduled for completion in 2026. The line will cut journey times between the two cities to 45 minutes and support trains running at up to 250 miles per hour, according to the Department for Transport (DfT). A proposed second phase of the project envisages the construction of an onward 'y network' connecting the line to Manchester and Leeds, as well as to Heathrow Airport, by 2033.
Earlier this week the DfT said that it was considering whether to require landowners and businesses to "contribute" to the HS2 project where their properties increases in value as a result of its proximity to the proposed new national high speed rail network. The contributions could take the form of "core project support, land, or aligned investment", according to its report.
The report followed criticism of the proposed scheme from business bodies and public spending watchdogs. It said that HS2 is the only way to meet the UK's increased need for additional rail capacity. The DfT revised down the benefit to cost ratio (BCR) of the line in the report, valuing it at 2.3 or providing £2.30 worth of benefits for every £1 spent.
The DfT said that the downwards revision of the BCR for HS2 from earlier reports was to reflect that business travellers are often productive on long train journeys, but it said that the ration remains "similar to Crossrail and higher than the BCR for some other major projects when approved". If rail demand continues to rise until 2049, the BCR will increase to 4.5, it added.