‘Breathtaking’ HS2 failure slammed after whistleblowers allege cover-up
The government is facing fresh political backlash over HS2’s “staggering failure” amid whistleblower accusations of a multi-billion pound cover-up.
Explosive new allegations published in the Sunday Times say senior executives at HS2 Ltd, the company charged with building the high speed line, shredded documents and used misleading projections to ensure money kept flowing into the project.
Whistleblowers claim they were told by bosses to lie about the project’s cost and were sacked after speaking out. They say parliament was not informed of the real cost of HS2 for years, all while voting on laws that approved its construction.
Louise Haigh, shadow transport secretary, told City PM: “These are serious allegations that make the Conservatives’ breathtaking lack of oversight of HS2 all the more shocking.”
“As chief secretary, chancellor and now as Prime Minister, Rishi Sunak failed to meet with HS2 [Ltd] once as the cost to the taxpayer soared.”
“Taxpayers are paying the price for this staggering failure. This is a government with no direction, no plan and no regard for taxpayers’ money.”
“Taxpayers are paying the price for this staggering failure. This is a government with no direction, no plan and no regard for taxpayers’ money.”
Louise Haigh, shadow transport secretary
HS2’s internal fraud unit is now investigating allegations of a cover up. HS2 Ltd vehemently denies the accusations published by the Sunday Times.
Liberal Democrat treasury spokesperson Sarah Olney MP told City PM “the Conservative government allowed costs to spiral out of control on HS2, and these latest revelations raise questions about what they knew and when.”
“It is vital that an independent inquiry gets to the bottom of these allegations – including whether Conservative ministers misled Parliament over costs.
Former HS2 analyst Stephen Cresswell told the Sunday Times he repeatedly attempted to alert ministers, the National Audit Office and HS2’s fraud department over cost issues but was told to “concentrate on something else”.
Another source told the paper her phone was confiscated and she was pressured into handing over private messages after being seen with a whistleblower. She said she was eventually sacked.
Doug Thornton, who directed HS2’s land and property department, said his boss became “aggressive and argumentative” when he planned to raise concerns at a board meeting. He was later sacked just 11 minutes after reporting a grievance, the report said.
Copies of a 2015 Deloitte report investigating costs associated with buying or compensating property owners near the route were shredded, according to whistleblower colonel Andrew Bruce.
A spokesperson for HS2 Ltd told City PM the “allegations are simply untrue.”
“The claims made by Bruce and Thornton, which have been covered by the media on multiple occasions, were put under intense scrutiny by the National Audit Office. Its report published five years ago found nothing untoward. All land and property costs are in line with the published budget.”
“HS2 Ltd’s work is subject to extensive scrutiny including being audited annually by the National Audit Office.”
The fresh allegations come after Rishi Sunak axed the Manchester leg of the project amid spiralling costs.
James Watkins, head of policy and public impact at London Chamber of Commerce and Industry said: “The latest alleged revelations around HS2 funding and financial conduct over the years needs to be taken very seriously. We expect the Department for Transport (DfT) to make a thorough investigation so that levelling up of all areas of the UK could take place smoothly. “
“A project such as HS2 requires proper governance and oversight. All of us must have access to a super-fast, convenient transport system to commute to the UK’s financial hubs while businesses should not have to think twice about capacity and skills issues during recruitment.”
A spokesperson for the DfT said: “The government and its public bodies takes such claims seriously and will ensure they are thoroughly investigated.”
“Several of the claims detailed have already been established as unfounded, including through an independent National Audit Office report. While further claims are currently under investigation by HS2 Ltd, it would be inappropriate to comment at this time.”