Cost warning for high-speed rail network

As the country continues to struggle out of recession, the research claims a London to Manchester high-speed rail (HSR) line would cost 27.5bn and would be too expensive for private finance alone.

It comes a few weeks before an expected Government White Paper on HSR following work done by the Whitehall-established High Speed 2 (HS2) company, which looked at a London to West Midlands line and further options for extending it north to Scotland along either the east or west coast, or both.

Jim Steer, director of HS2 lobby group Greengauge21, said that the London to Manchester case was used as a sample and the figures were relevant to a London to Yorkshire east coast route.

He said: "There is clearly the potential to extend high speed rail to Yorkshire but we will have to see what the Government decides to do next month. It is clear operating it would be profitable."

The research was carried out by accountant PricewaterhouseCoopers. Partner Julian Smith said: "The current pressure on Government finances means it is important that a new HSR network is delivered with minimal impact on the public purse and in a way that represents good value for money."