{"id":14664,"date":"2023-03-26T20:43:04","date_gmt":"2023-03-27T03:43:04","guid":{"rendered":"https:\/\/essential.construction\/news\/hs2-euston-needs-full-design-reset-as-costs-set-to-double\/"},"modified":"2023-03-26T20:43:09","modified_gmt":"2023-03-27T03:43:09","slug":"hs2-euston-needs-full-design-reset-as-costs-set-to-double","status":"publish","type":"post","link":"https:\/\/essential.construction\/news\/hs2-euston-needs-full-design-reset-as-costs-set-to-double\/","title":{"rendered":"HS2 Euston needs full design reset as costs set to double"},"content":{"rendered":"

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A new National Audit Office report into the station warns that forecast project costs have continued to balloon despite attempts to simplify the project.<\/p>\n

The original \u00a32.6bn station budget is now reckoned to have soared to \u00a34.8bn, even with the cost-cutting decision to trim back platforms from 11 to 10.<\/p>\n

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Spending to date on advanced works has already hit \u00a3548m.<\/p>\n

NAO experts warn that the Government\u2019s latest two-year pause in new construction can only inflate long-term costs further.<\/p>\n

This is due to costs associated with demobilising and then remobilising teams, contractual changes, and managing the project for longer.<\/p>\n

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It has called on the Government to use the two-year pause to go back to the drawing board and develop a design that is affordable, deliverable and value for money.<\/p>\n

The NAO\u2019s report recommends the DfT works with stakeholders: Euston Partnership, HS2 Ltd, Network Rail, Lendlease and local partners to reassess the expectations for the HS2 Euston project, its budget, and the public benefits.<\/p>\n

Gareth Davies, the head of the NAO said: \u201cGovernment is once again having to revise plans for Euston HS2.<\/p>\n

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\u201cClearly, the 2020 reset of the station design has not succeeded.<\/p>\n

\u201cDfT and HS2 Ltd have not been able to develop an affordable scope that is integrated with other activity at Euston, despite their focus on costs and governance since 2020. Recent high inflation has added to the challenge.<\/p>\n

\u201cThe March 2023 announcement by the Transport Secretary pausing new construction work should now give DfT and HS2 Ltd the necessary time to put the HS2 Euston project on a more realistic and stable footing.<\/p>\n

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\u201cHowever, the deferral of spending to manage inflationary pressures will lead to additional costs and potentially a more expensive project overall, and that will need to be managed closely.\u201d<\/p>\n

Meg Hillier MP, Chair of the Committee of Public Accounts. added: \u201cAttempts to reset the High Speed 2 Euston Station have failed.<\/p>\n

\u201cIt is still unaffordable and no further forward than it was three years ago.<\/p>\n

\u201cToday\u2019s NAO report shows that the redesigned station would have cost nearly double what was budgeted.<\/p>\n

Department for Transport and High Speed Two Ltd have wasted enough time and money. They must get Euston right next time or risk squandering what benefits remain.\u201d<\/p>\n

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Euston Station cost reality check<\/h3>\n\n

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