Great British Railways: How much York Council spent on unsuccessful bid for new railway HQ

The City of York Council spent £60,000 on an unsuccessful bid to land Great British Railway Headquarters, a Freedom of Information request has revealed.

Derby ended up getting the HQ in March, with Birmingham, Crewe, Doncaster, Newcastle-upon-Tyne and York all losing out. The City of York Council put £20,000 into the bid, with the remaining £40,000 evenly donated between York & North Yorkshire Local Enterprise Partnership and York Central Enterprise Zone.

The council spent £59,325 on numerous expenditures, such as shortlisting costs including media and stakeholder engagement (£30,000), survey/polling (£2,600), economic data analysis (£1,500), design (£625.00). Ministerial visit costs included visit planning and materials (£24,000) and a visit photographer (£600).

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Other partner contributions included a £3,000 BID design and a £500 Rail Business Daily feature.

Sir Ed Davey and York council leader Keith AspdenSir Ed Davey and York council leader Keith Aspden
Sir Ed Davey and York council leader Keith Aspden

The council’s deputy leader Coun Pete Kilbane, who was in opposition at the time of the bid, said Labour backed the project and would not criticise it, but added: “It does seem a lot of money to spend on a failed bid.”

He also said: “The new Labour administration will be more focused on how we invest for growth, especially given the parlous state of the finances we have inherited.”

Coun Kilbane described the contest as an “expensive lottery” and that he hopes “future growth opportunities will be offered in a far more professional way.”

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The decision to overlook York was widely criticised by politicians including Labour’s Rachael Maskell MP and Conservative Julian Sturdy MP. Ms Maskell described it as a “stunning blow” and “it appears that a political decision has been made.” Then Liberal Democrat council leader Keith Aspden said: “The way the contest has been run is an absolute shambles.”

York Press later reported on Mr Aspden’s pride following his initial dismay.

“I’m proud that York’s bid had the backing of the whole city and wider North Yorkshire, from residents to business, health, culture and political leaders, we were all rightly united in our aim to bring GBR HQ to York,” he said.

Claire Foale, Assistant Director of Policy and Strategy at City of York Council said: “We are grateful to everyone who said Yes to York and backed York’s bid, including residents, partners, all political groups and businesses. As with everything we do we sought to provide value for money whilst delivering on the city’s priorities. Funding for this bid came from a variety of sources with £20,000 from the council’s revenue budget.

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“Whilst it was disappointing that our bid was unsuccessful, York was shortlisted in a highly competitive process. Regardless of the final decision on the location of the GBR HQ, York’s rail sector continues to thrive, employing 5,500 people. We look forward to working with GBR and the Government to ensure that our expertise in rail tech and running the railways continues to shape the future of rail. Bidding for GBR HQ helped highlight the strengths of York to the rail industry and to Government, and helped us make the case for a Government Hub as part of York Central.

"We want to continue to promote the city and work with residents, businesses and partners to unlock our city’s full potential, harnessing the pride and energy demonstrated in our bid to bring more investment, jobs and skills to the area .”

The Department for Transport was also approached for a response. The City of York Council has also bid for the city’s historic centre to become a UNESCO World Heritage site, but council leader Clare Douglas said it is “not a priority” for the new administration.