The latest levelling-up secretary has warned that the Government’s rail investment in HS2 could face review as part of “painful” decisions
The possibility of an HS2 review was raised during Gove’s interview with Times Radio’s Sunday Morning with Kate McCann and Adam Boulton (30 October 2022).
Ahead of the autumn financial statement on 17 November, prime minister Rishi Sunak and chancellor Jeremy Hunt are said to be considering cuts to spending and increasing tax to fill a projected £50bn shortfall.
A HS2 review could raise further questions about the ‘significant investment’
Acknowledging that HS2 “is a significant investment”, the levelling up secretary defended the infrastructure development, saying “I think long term capital investment in making sure this country is better connected is a good thing.”
Gove brushed off questions of if the project was still worth it after the eastern leg connecting Birmingham and Leeds was scrapped a year ago, reiterating that “you don’t want to cut that long term capital investment because it helps contribute to economic growth and greater opportunity.”
“But when we face the particularly economic problems that we have at the moment, I’m sure that some capital spending will be cut.”
Truss’s investment zones are also being reviewed
Also on Sunday, Gove told Sophy Ridge on Sky News that he was reviewing the proposed investment zones, which could allegedly cost the government £12bn in lost tax whilst putting employment and environmental protections at risk.
Gove told Sky that “anything that might in any way undermine environmental protections is out,” although the zones had not been revoked at the time of writing.
“Painful” decisions ahead
Mr Gove insisted people “deserve the truth” which is “as a result of different factors, including mistakes that were made at the mini-budget, we have got to make some decisions, which will be painful … When we face the particular economic problems that we have at the moment, I’m sure that some capital spending will be cut.”
