I heard the report live. Because of rising costs contractors can't deliver within their original budgets. Treasury opposed to giving extra money.
And the Pope is ...?
If you look at the wording of the
BBC» 's report, it says:
The Sun reported that rising inflation and construction costs mean HS2▸ trains may terminate in the suburbs of west London instead.
The paper said bosses were considering pushing back its Euston terminus to 2038, or scrapping it completely.
Now, we know there has been a "comprehensive spending review" going on, and a lot of pressure from HM Treasury across government to find more savings (though not announced as such).
For example, look at what the Guardian was reporting ahead of the autumn statement:
Hunt is looking at cuts to the £100bn-plus capital spending budget as he seeks to fill an approximately £50bn black hole in the public finances at his fiscal event on 17 November. “We are looking at all capital spending as part of the autumn statement,” one Whitehall source said.
Asked last week whether HS2, which is over budget, could also be subject to cuts, Michael Gove, the levelling up secretary, said: “I am sure everything will be reviewed.”
It doesn't look like they have found enough yet; mind you, without a clear idea of how to regard inflation (is is really an overspend if you are just following the approved plan?), "enough" can't be defined. So the hunt for savings (for Hunt) goes on.
For capital spending, the Treasury's edict is roughly for "all spending to be reviewed, including as options the redesign, deferral, or cancellation of all or part of each programme, and the potential savings assessed" and reported to them.
Which is pretty much what the BBC said. What comes out of all those assessments and any decisions based on them is another matter.