The Transport Secretary giveth, the Transport Secretary taketh away. Louise Haigh has given the strongest signal yet that HS2 will run to London Euston. At the same time, she announced a delay in the decision over the Lower Thames Crossing, the new £9 billion link between Kent and Essex, until next spring.
Funding the HS2 link to Euston ought to be something of a no-brainer. It would be ludicrous for an apparently high-speed, high-capacity rail line into the capital to terminate at Old Oak Common, forcing passengers off in the West London suburbs. Postponing the Lower Thames is disappointing but unsurprising, given the timeline was set by the previous Conservative Government.
Yet these projects are indicative of a wider power struggle going on across this new administration. No doubt, the fiscal situation is difficult. In the run up to the Budget, the Treasury is reportedly demanding cuts to departmental capital budgets. This would be a mistake. It is these sorts of infrastructure projects that will underpin the sustainable growth this Government has made its number one priority.
Ensuring a path to fiscal sustainability is vital. The ‘mini-Budget’ demonstrated there are real constraints on borrowing. But projects which represent value for money must not be mothballed or delayed, simply to meet arbitrary fiscal rules that do not serve the national interest.
Cleverly marches on
The consensus is clear: James Cleverly won Conservative Party Conference. The Shadow Home Secretary delivered a polished and passionate speech in the hall, simultaneously rising in the polls. And that momentum continues with the endorsement of former leadership contender Mel Stride.
The next phase in this contest is another ballot of Conservative MPs. Tom Tugendhat, who underwhelmed in Birmingham, is likely to drop out of the race. Should his votes shift en masse to Cleverly, then that would likely see one-time favourite Kemi Badenoch fail to make the final two.
Should Cleverly face Robert Jenrick amongst Tory members, it would make for a fascinating duel. Jenrick has staked his position as the candidate of the anti-immigration right. Cleverly, meanwhile, is the more emollient moderate. History suggests Jenrick will win. But Cleverly has already surprised in this contest, and may do so again.
