Hs2

Newcastle upon Tyne Andrew Adonis is not your conventional ‘retired’ politician. The sprightly 50-year-old shadow infrastructure minister remains more influential than his current job title suggests. After running Tony Blair’s policy unit at No. 10, Adonis kick-started the academies programme and paved the way for Michael Gove’s education revolution. Under Gordon Brown he rose to Secretary of State for Transport, where he renationalised the East Coast railway and conceived High Speed 2. Adonis took a central role in Labour’s failed coalition negotiations with the Lib Dems (a party he was once a candidate for) before quitting frontline politics. Today, Adonis is more instrumental to Labour than ever, leading Ed Miliband’s

If the strange mood of Tory unity over Europe is giving you the heebie-jeebies, then have a look at high-speed rail. When disunity boils over, which it is likely to do later this autumn, it will cause the party real problems. Unless, of course, Adam Afriyie decides to launch some kind of coup on HS2, in which case Parliament will probably unite to support the new line and that will be the last we hear of it. Labour is now crouching in the undergrowth, waiting for the Tory disunity to bubble over. The party hasn’t quite dropped its love of stirring things up a bit, and the disappearance of Maria

Here’s what jumped out at me from David Cameron’s interview with Andrew Marr in Manchester this morning: Tax cuts: the Tory weapon ‘As this economy has started to recover, it’s very difficult for people to make ends meet. Their wages are relatively fixed, and the prices are going up. That’s why cutting people’s taxes is so important. That’s why lifting people out of the first £10,000 of income tax is so vital. That’s why freezing the council tax matters.’ So Cameron acknowledges Miliband’s premise, that the cost of living is an issue, then presents tax cuts as the solution. Precisely the right strategy, as tax cuts are bankable and Miliband’s

When Lord Howell described parts of the North East of England as ‘desolate’ (or did he mean the North West?), he was talking about shale gas exploitation, but he could have more accurately applied the term to the map of Tory support in the region. The urban north hasn’t supported the party since the late 1980s. Seats like Manchester Withington, Newcastle Central and Nottingham North (that last is not in the North, of course, but another example of the urban problem) were once Conservative, but now it’s hard to imagine them ever being safe blue seats again. The Tories can win without the urban North, but as their electoral map

So now there isn’t just uncertainty over Labour’s support for HS2, but also uncertainty over the uncertainty after Maria Eagle tried her best to deliver as upbeat a speech as possible about the high speed rail link. The Shadow Transport Secretary did deal with the issue, and she made clear that Labour’s support is now conditional. But what she didn’t do was suggest that Labour was questioning the value of the whole project. Eagle told the conference hall: ‘That’s why we support High Speed 2. And, unlike the Tories, no blank cheque for any government project. So, as Ed Balls rightly says: we support the idea of a new north-south

Ed Balls has just taken the scalpel to HS2 in an interview with Steve Richards. He talked about the project having ‘huge fiscal implications’ and questioned whether the ‘benefits are really there’. He then went on to stress that the question was not just whether HS2 provided value for money, but whether it was the best use of £50 billion. As he emphasised, £50 billion could be used on other transport projects or new housing, hospitals and schools. One could see Balls gleefully contemplating just how much fiscal wriggle room cancelling HS2 would give him. Now, Balls did say that Labour had not reached a final decision on what to

George Osborne’s speech on the economy today will show how much the Chancellor’s stock has risen in the past year. It also shows that in spite of the embarrassing defeat on Syria two weeks ago, the Conservatives still feel they can be confident about their appeal to voters, because things are going well on the domestic front. If the growth forecasts were still terrible and key sectors such as manufacturing were still producing terrible figures, the Syria vote would have had far more dangerous consequences for the Tory leadership. But instead, they are able to bounce back from defeat with the statistics that make them look strong. As James pointed

The coalition government is preparing a new case for HS2. Concerned that public and political support for the project is slipping away, there’ll be a major effort to renew enthusiasm for it. In this new case, there’ll be far less emphasis on speed and far more emphasis on how HS2 is needed because the existing railway lines are full up. This marks a recognition inside government that the savings on the journey time to Birmingham, which are less than half an hour, are too small to act as a public justification for the project. Expect to see this new argument reflected in the Transport Secretary Patrick McLoughlin’s speech on Wednesday.

George Osborne is not relinquishing his love for High Speed 2 anytime soon. On his welcome return to television this morning, Andrew Marr gave the Chancellor a grilling over the new line. Osborne in return defended the government’s position both on monetary and ideological grounds. With the most recent costings of £50 – 80 billion thrown around, the Chancellor added some clarity on how much he will authorise for construction of the new line: ‘We have set the budget for £42bn for the construction costs. That includes, by the way, a big contingency. As we demonstrated with the Olympic Games, we can deliver these big projects actually sometimes under budget.

As if many true blue parts of England didn’t dislike the Chancellor enough, today’s Financial Times adds to his misdemeanours renewed support for High Speed 2. Their splash (£) reports that despite fresh concerns from Treasury officials over the sums, George Osborne is still pushing ahead with the new line. According to the pink ‘un, Osborne sees the project as ‘an emblem of the coalition’s commitment to spread growth more evenly across the country’. I’m sure many of his fellow Tories will be disappointed that he isn’t backtracking instead. Osborne’s rallying cry doesn’t drown out the scary new figure that the FT has for the cost of HS2. The original

Why is David Cameron still backing High Speed 2? It’s controversial inside his party and divisive in the Tory heartlands. Despite a government task force set up to promote the business case for the new railway, the anti-HS2 brigade are winning the war of the words, as evidenced by Fleet Street’s recent attacks on the project. The Mail on Sunday splashed yesterday with leaked analysis on how HS2 is going to result in vast amounts of disruption in beautiful parts of the country. Not exactly a new revelation but the full impact of the construction is only being realised now. With this knowledge, Melissa Kite argues in the Guardian today that Cameron is only pushing ahead with the

The business case for HS2 is falling apart, and with it the political consensus. Vince Cable has today become the latest one to say that the case is not made. Wednesday’s Newsnight put together transport experts who suggested that the taxpayer would get 50p or 60p of benefit for every £1 spent. (HS2 started by claiming a £2.60/£1 ratio). The ex-Transport Secretary, Philip Hammond, said that £1.50 would be his breaking point). Inside government, jokes are made about how David Cameron and (to a greater extent than you’d think) George Osborne are in denial about the implosion of this grand project. Labour had been supportive (thanks to the continuing evangelism