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Minister says cost of UK's rail HS2 project could soar to $138 Billion

Transport Minister Heidi Alexander revealed on Tuesday that the bill for Britain's high-speed rail line, HS2, could reach a staggering?103 billion pounds ($138billion). This is?the latest in a series of cost overruns for?the beleaguered project.

HS2 was originally designed to increase capacity and catch up Britain with other European countries that have extensive high-speed network.

The spiraling budget and delays in the project meant that successive governments had to drastically reduce the length of this new line. This put the future of the entire?project' at risk.

Alexander stated on Tuesday that a new analysis shows cancelling the order now would cost the same as continuing.

She said that the cost of the line connecting central London to Birmingham is now estimated between 87.7 and 102.7 billion pounds. Services will not begin until 2036 or 2039, a decade later than originally planned.

Alexander stated that "taxpayers, passengers, and communities along the route have been let down for years by mismanagement of HS2". She added that she is confident in a team who had delivered London's Elizabeth Line.

NO STOP IN CENTRAL LONDON UNTIL 2040 AT LEAST

The first trains into Euston Station in central London will not operate until 2040-2043. Trains that run before then will terminate at Old Oak Common, west London.

Alexander blamed the previous government for their decision to build the "world's fastest train" with a highly engineered and bespoke railway. He also said that inflation, inefficient delivery and underestimation were the reasons behind the cost increases.

HS2 was intended to modernize Britain's mostly Victorian era?railway system and improve connections between London and northern England. The cost was estimated to be 32 billion pounds by 2011.

As the cost of the bill grew, the connections to northern cities like Leeds and Manchester had to be cut off in the early 2020s. The bill was estimated to be 56 billion pounds by 2018, but multiple reports have since put it at closer to 100 billion.

(source: Reuters)