IEA - HS2 decision is economically unjustifiable
IEA reacts to HS2 decision
Commenting on the Government’s announcement that they will go ahead with the HS2 project, Mark Littlewood, Director General at the Institute of Economic Affairs, said:
“It is astonishing that the Government has given the green light to HS2, despite the project’s astronomical costs and its so-called benefits being near universally discredited. There is a need for improving transport capacity, but HS2 is a wildly inefficient solution.
“This vanity project offers zero value for money for taxpayers who will bear the burden of the cost: one which the IEA estimates will exceed £80 billion – more than double what the Government initially planned for. If the HS2 project made any economic sense the private sector would pay for it, rather than piling on the costs to already hard-pressed taxpayers.”
Notes to editors:
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The IEA’s research on the costs of HS2, The High-Speed Gravy Train: Special Interests, Transport Policy and Government Spending can be downloaded here.
The mission of the Institute of Economic Affairs is to improve understanding of the fundamental institutions of a free society by analysing and expounding the role of markets in solving economic and social problems.
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