Transparency data
DfT Government Major Project Portfolio data, September 2013
Updated 23 May 2014
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| Project name | Intercity Express Programme (IEP) | Crossrail | Thameslink | Periodic Review 2013 (Rail Investment Strategy - HLOS & SOFA) | Thameslink, Southern, Great Northern Franchise Competition | London, North East and Scotland Franchise Competition | Essex Thameside Franchise Competition | ICT Contract Let Procurement Programme (CLPP) | A14 Cambridge to Huntingdon Improvement Scheme | Search & Rescue Helicopters (SARH) | High Speed Rail Programme | Shared Services Implementation Programme |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Department | DfT | DfT | DfT | DfT | DfT | DfT | DfT | DfT | DfT | DfT | DfT | DfT |
| MPA RAG rating (A Delivery Confidence Assessment of the project at a fixed point in time, using a five-point scale, Red – Amber/Red – Amber – Amber/Green – Green; definitions in the MPA Annual Report) | Amber/Green | Amber/Green | Amber/Green | Amber/Green | Amber | Amber | Amber/Red | Amber | Amber | Amber/Green | Amber/Red | Amber |
| Description / Aims | Intercity Express Programme (IEP) will replace Britain’s fleet of high speed trains on the Great Western Mainline and the East Coast Mainline. The Class 800 & 801's will provide new, high quality, modern, higher capacity trains across the Great Western route between London, Bristol, Cheltenham, Worcester, Cardiff and Swansea and on the East Coast route between London, Leeds, Crewe and Scotland. IEP's objectives are to: deliver increased carrying capacity on the rail network; deliver a faster reliable journey time; meet customer requirements by providing an enhanced passenger environment; improve safety; deliver an environmentally sustainable solution; minimise whole-life, whole-system costs; offer flexibility of deployment and; to manage the transition between the Train Service Provider and existing Intercity fleets. The new trains will deliver significant benefits for rail passengers who will experience faster and more comfortable journeys. Capacity improvements of up to 40% into Paddington and 28% into Kings Cross and journey time savings of around 23 minutes to Bristol and 18 minutes to Edinburgh are planned. The first IEP trains will enter service on the Great Western Mainline in 2017 and on the East Coast Mainline in 2018. | The Crossrail programme will deliver a new high-frequency rail service and supporting infrastructure for London and the South East. A key part of this is the construction of twin tunnels, each 21km long, through the heart of Central London. When it opens (in stages from 2018) Crossrail will run from Reading / Heathrow in the West to Shenfield in the East / Abbey Wood in the South East. Crossrail will create economically-vital new transport infrastructure to support London’s growth, delivering faster journey times and providing an uplift in rail-based transport capacity. It will put an additional 1.5 million people within 45 minutes of London’s business centres, facilitating employment growth of up to 30,000 jobs by 2026 in Central London. | The £6.5bn Thameslink programme will deliver faster and more reliable journeys for people and businesses and improve accessibility to, from and through the heart of London. In particular, it will reduce crowding on current Thameslink and other commuter services; provide for the introduction of new cross-London services; reduce the need for interchange between main-line and London Underground services and hence reduce overcrowding on the London Underground; and improve the reliability of train services operating through the core route section between London Bridge/Elephant and Castle and St Pancras. Thameslink will also offer interchange with Crossrail services at Farringdon once both services have been introduced. When complete Thameslink will link Sussex, Kent and Surrey with Hertfordshire, Bedfordshire and Cambridgeshire via 24 trains an hour in each direction through central London at peak times. The Thameslink Programme is comprised of three main elements: changes to Network Rail’s infrastructure, including extending of station platforms and significant redevelopment of Farringdon, Blackfriars and London Bridge Stations; procurement of new Depots and Class 700 trains with automatic train operation and new signalling through the core; and the setting up of franchise arrangements (under the new Thameslink Southern Great Northern – TSGN - franchise) for running the passenger service on a new combined Franchise network that will become the biggest franchise in the UK. | As part of the Office of Rail Regulation's Periodic Review, Government is required to publish a High Level Output Specification (HLOS), setting out information about what the Secretary of State wants to be achieved by railway activities during Railway Control Period 5 (1 April 2014 to 31 March 2019); and a Statement of Funds available (SoFA), setting out the public funds that are or are likely to become available to secure delivery of the HLOS. This fulfils the statutory obligation required by paragraph 1D(1) of Schedule 4A to the Railways Act 1993 as modified by the Railways Act 2005. As such, this project has been completed. It remains on the GMPP list pending further assurance / review. | The project purpose is to deliver a contract with the successful bidding organisation for the next TSGN rail franchise and to do this in such a way that it meets the requirements of the overall franchising programme objectives and the Department's value for money and affordability requirements. To provide a franchise contract that meets the objectives agreed by the Secretary of State as set out in Section 4 of the approved project mandate v3.0, in summary being: 1. Deliver consistently excellent standards in customer service 2. Develop and exploit the full potential within existing rail markets, grow new markets, spread demand and improve seat utilisation, innovate and invest in partnerships to tackle capacity constraints and improve industry planning for demand. 3. Deliver consistently excellent train and station services as well as managing journey disruption in ways that measurably impress passengers and minimise their inconvenience. 4. Increase the long term value to the taxpayer of the franchise businesses, their resources, staff and assets through improvements in overall management and investment. 5. Achieve whole industry benefits 6. Deliver sustainable long term socio-economic benefits for communities and the wider UK economy | The purpose of the project is to deliver a contract with the successful bidding organisation for the next London, North East and Scotland rail franchise and to do this in such as way that meets the requirements of the overall franchising programme objectives and the Department's value for money and affordability requirements. To provide a franchise contract that meets the objectives agreed by the Secretary of State as set out in Section 4 of the approved project mandate v3.0, in summary being: 1. Deliver consistently excellent standards in customer service 2. Develop and exploit the full potential within existing rail markets, grow new markets, spread demand and improve seat utilisation, innovate and invest in partnerships to tackle capacity constraints and improve industry planning for demand. 3. Deliver consistently excellent train and station services as well as managing journey disruption in ways that measurably impress passengers and minimise their inconvenience. 4. Increase the long term value to the taxpayer of the franchise businesses, their resources, staff and assets through improvements in overall management and investment. 5. Achieve whole industry benefits 6. Deliver sustainable long term socio-economic benefits for communities and the wider UK economy | The purpose of the project is to deliver a contract with the successful bidding organisation for the next Essex Thameside rail franchise and to do this in such as way that meets the requirements of the overall franchising programme objectives and the Department's value for money and affordability requirements. To provide a franchise contract that meets the objectives agreed by the Secretary of State as set out in Section 4 of the approved project mandate v3.0, in summary being: 1. Deliver consistently excellent standards in customer service 2. Develop and exploit the full potential within existing rail markets, grow new markets, spread demand and improve seat utilisation, innovate and invest in partnerships to tackle capacity constraints and improve industry planning for demand. 3. Deliver consistently excellent train and station services as well as managing journey disruption in ways that measurably impress passengers and minimise their inconvenience. 4. Increase the long term value to the taxpayer of the franchise businesses, their resources, staff and assets through improvements in overall management and investment. 5. Achieve whole industry benefits 6. Deliver sustainable long term socio-economic benefits for communities and the wider UK economy | The current contract that provides DVLA with most of its ICT service needs must be replaced by September 2015, when the contract arrangement with IBM expires. The Agency is looking to transform its ICT provision by adopting supply chain principles defined in the Government IT Strategy. DVLA’s current ICT landscape has evolved incrementally since 2001 and is complex, predominantly out-of date and economically unsustainable. The programme will explore how DVLA: a) migrates to a more flexible set of ICT contracts with industry b) Reduces its dependency the ICT market and contractors by establishing stronger internal capability c) Incrementally retires its legacy ICT systems with replacements that are cheaper, more flexible and support the Agency’s business strategy Expected benefits a) Business continuity through the period of change b) Optimisation of ICT cost savings against the current spend of approximately £145m. c) Improved delivery of core IT services, and enabling the delivery of digital services by agile methods to simplify customer interactions d) Enhanced in-house capabilities to better manage future supply chain and enable delivery of business change e) Leveraging pan-government procurement frameworks and alignment with Government IT Strategy | The A14 Cambridge to Huntingdon Improvement Scheme will comprise: Huntingdon Southern Bypass (11.8 miles / 19km):A1 Trunk Road Improvements including Alconbury to Brampton:A14 Trunk Road Improvements (10.5 miles / 17km): .De-trunking of the existing A14 from Brampton Hut to Fen Drayton and from Alconbury interchange to Spittals. The strategic objectives of the scheme: a) To support and enhance the role of the current A14 between Cambridge and Huntingdon as a major national (Trans-European Network) and inter-urban regional transport artery. b) To develop the options from the DfT A14 study to provide additional capacity, increase journey time reliability, by improving and better managing traffic flow conditions, and ensure the safe and economic operation of the trunk road. c) To determine the optimal funding strategy taking account of local contributions from local authorities and partners. d) Affordable whilst maximising the benefit/cost ratio and hence value for money. | To manage the delivery of UK SAR-H contract for the provision of a Search and Rescue Helicopter service to cover the entire UK search and rescue region. The UK SAR-H contract will replace the current Maritime and Coastguard Agency (MCA) contracted service, which runs to June 2017, and the existing MOD capability which is due to end in March 2016 when the Sea King fleet is due out of service. The UK Government is committed to a number of international agreements which require a national framework of search and rescue resources to be available within a geographically defined region, currently the service is jointly provided by the MOD at 8 bases and the MCA at 4 bases. The UK SAR-H programme aims to deliver the UK SAR-H service from 10 bases. The benefit of the service is to save lives. | HS2 is the Government project to build a new North-South railway. The case for the new line rests on the capacity and connectivity it will provide. We need this capacity because in the future, as our economy and our population grows, we will travel more. We need the connectivity because bringing people together drives economic growth. Our current transport system is already under strain and a constraint on growth. Among the many alternatives that have been considered – including new motorways and upgrades to the current rail network - HS2 is the best way of getting ahead of current demand on our core transport network. The new north-south railway is a long term solution to a long term problem. Without it the West Coast, East Coast and Midland Main Lines are likely to be overwhelmed. With it, we will transform intercity travel, radically improve commuter services into London and our other major cities and increase the amount of rail freight. These transport improvements will help support economic growth and make a major contribution towards rebalancing the economy. The new railway will be built in two phases. It will be fully integrated with the rest of the railway network. It will bring benefits to places with stations on the new railway including Leeds, Manchester, Birmingham and London; to stations on the classic network like Liverpool, Darlington and Newcastle which will receive high speed services; and to other places on the existing mainlines like Milton Keynes, Rugby and Peterborough which will have better services from released capacity on the existing main lines | The Shared Services Implementation Programme (SSIP), is a programme of work resulting from the successful conclusion of the Shared Services Futures Project. The latter project orchestrated the procurement and contract award (in February 2013), for the divestment of the former DfT Shared Services and the future provision of back office shared services functions to the Department for Transport (including its Executive Agencies). Following a procurement process, three preferred bidders were chosen in late 2011 and Competitive Dialogue started in February 2012. Dialogue concluded and final tenders were received, evaluated and a preferred bidder announced in December 2012. The Full Business Case was approved by the DfT Board Investment & Commercial Committee (BICC), Ministers and HM Treasury. On 28 February, the contract was awarded to arvato (part of the Bertelsmann Group). DfT completed the divestment exercise on 1st of June 2013 The SSIP is also a key deliverable for the Next Generation Shared Services Programme (NGSS) which is managed by the Cabinet Office. This Programme is focused on the centralisation of transactional functions for Finance, HR, Payroll and Procurement into 2 Independent Shared Service Centres (ISSC).Divestment of the DfT SSC will form ISSC 1 (June 2013). There will be a phased migration of DfT Business Units to the Provider's new solution, with all Business Units on the new system by October 2014. |
| Departmental commentary on actions planned or taken on the MPA RAG rating. | The sponsor team continues to scrutinise project costs, risks and schedule performance to ensure project remains on track. The Department continues to engage with Agility Trains on rolling stock design and manufacture. Key stakeholders have visited the IEP mock up in Warwick with very positive feedback. In April 2014, funding was secured to build more IEP trains for the East Coast route. Nearly 500 new carriages will be manufactured at Hitachi Rail Europe’s purpose built factory in Newton Aycliffe, County Durham. The IEP deal will secure around 1400 new jobs. | Tunnelling update - Crossrail Ltd has completed over 33km of tunnelling (May 2014). Crossrail Ltd continue to forecast that Crossrail is on schedule to open on time, with services operating through the central tunnel from December 2018. The Department continue to scrutinise project costs and schedule performance to ensure project remains on track. The Department's Project Representative’s analysis indicates that Crossrail is still on target to deliver the programme to budget. The Department continues to engage with Joint Sponsor Team on Rolling Stock. Following the successful award of the Rolling Stock and Depot Contract to Bombardier, the Department needs to ensure that the contract is delivered on time. Agreed City of London's contributions towards the Crossrail Art programme. | Delivery of key elements of the programme, particularly London Bridge station, trains and depots and the TSGN franchise remain key areas of focus.The Department monitors the progress to delivery and budget on all elements of the Thameslink Programme on a regular basis through various regular meetings with our key delivery partners. Where issues of concern arise, we escalate these to the appropriate level for consideration and resolution. An industry governance structure is in place to consider such issues. | The independent Office of Rail Regulation has concluded in its October 2013 Final Determination that the rail strategy can be delivered within the budget available. This confirms the rail industry January 2013 response to the HLOS. Work with the industry is now underway to develop the programmes and projects to deliver the infrastructure and train service changes. Network Rail will publish a consultation enhancement plan in mid December 2013. There are still a number of risks that could jeopardise successful delivery which the project and wider rail industry is managing. ORR will independantly review process the PR13 which is anticipated during summer 2014. Further information can be found here: http://www.rail-reg.gov.uk/pr13 | The competition was restarted in March 2013. The rating refers to the challenging timetable, we are balancing and streamlining assurance and approvals processes - enabling effective decision making and robust challenge, while facilitating successful delivery. We are also seeking more flexibility to enable us to bring in external resource effectively. The Department continues to scrutinise project costs and schedule performance to ensure project remains on track. Key actions taken have included utilising project tools and working with the MPA to demonstrate project management approaches, strengthening stakeholder engagement and communication plans. The project has been learning lessons from the Essex Thameside project such as using their methods for rail analysis modelling which has been independently audited. It was agreed with the MPA that future reporting would take place via a Rail Franchising Programme than individual projects due to the progress and development of the programme. | The competition was restarted in March 2013. The Department continues to scrutinise project costs and schedule performance to ensure project remains on track. Key actions taken have included collating information on all dependencies relating to the project and reviewing the stakeholder engagement across the Rail Franchise Programme. It was agreed with the MPA that future reporting would take place via a Rail Franchising Programme than individual projects due to the progress and development of the programme. | The competition was restarted in March 2013 and was the first franchise project to start. The rating refers to the challenging timetable, we are balancing and streamlining assurance and approvals processes - enabling effective decision making and robust challenge, while facilitating successful delivery. We are also seeking more flexibility to enable us to bring in external resource effectively. The Department continues to scrutinise project costs and schedule performance to ensure project remains on track. Key action taken have included utilising project tools and working with the MPA to demonstrate project management approaches such as governance structures across the project and Rail Franchise Programme and regular project and programme meetings. The project worked closely with the programme office to shape programme plans and strategies to ensure all franchise projects take a consistent approach. It was agreed with the MPA that future reporting would take place via a Rail Franchising Programme than individual projects due to the progress and development of the programme. | As part of controlled closure the resulting actions were reviewed and can be classed as: complete, redundant (given closure announcement) or transferred to the Strategic Transform Portfolio for consideration. | This rating was due to the risk around the completion of the public consultation and the production of the associated consultation report. | The UK SAR Programme Management is progressing well with the MCA and Bristow colleagues working closely together towards the delivery of airframes, bases and personnel. Although Bristow are responsible for the procurement of airframes, development of operational bases and recruitment of personnel, the MCA are supporting the process by providing clear direction towards meeting key deliverables based on pre-set list of requirements and operational dates. MCA Programme and Project Management processes have been further developed to aid the Agency in monitoring planned SAR activity throughout the transition phase. A list Key Performance indicators (KPIs) have been agreed between the MCA and the contractor, with the aim of supporting the management and delivery of SAR services at key intervals throughout the transition process | HS2 is in excellent shape and has made significant progress since September. The rationale for HS2 was published in the Strategic Case in October; the hybrid Bill was deposited ahead of the published commitment in November; the High Speed Paving Bill received Royal Assent on 21 November and most recently the Phase1 Bill achieved resounding success at Second Reading with a majority of 452 to 41. On April 9, 2014 an improved package of compensation measures for property owners along the phase one of the route was announced and on March 21, 2014 the HS2 Growth Task Force published findings and recommendations to the Secretary of State setting out the main challenges the Growth Task Force can see in maximising the benefits from HS2. In addition, Sir David Higgins is now in place as Chairman and Simon Kirby has been appointed as the new Chief Executive for HS2 Ltd. On Communications Strategy: We appointed a senior level strategic communications advisor to deliver: • A short-term communications effort that focused on the Second Reading of the Hybrid Bill; • A longer-term campaign plan based on detailed market research (to be developed); and • We now have an integrated communications team in place to deliver against this plan. On Resourcing: We have made key appointments to senior roles at HS2 Ltd including: • Sir David Higgins as Chairman; • Simon Kirby as construction CEO; and • Patrick O’Connell as interim Programme and Strategy Director • Other senior appointments are in train and will be announced soon, including; o Programme and Strategy Director o Head of Programme Controls o Communications Director Both DfT and Network Rail have grown their project teams, bringing in the skills required for the next phase of work. On timetable: A timetable has been developed for the passage of the hybrid Bill through Parliament based on our assessment of the number of expected petitions. We deposited the Bill on time, achieved success at Second Reading and we are now working with Parliamentary authorities to ensure smooth passage of the Bill through parliament. Contingency plans, based on different scenarios for the progress of the Bill through Parliament, have been developed. On transitioning to the next phase: On 19 November 2013 SoS confirmed that HS2 Ltd will be the delivery agent for Phase 1. Following this decision we have made significant headway in putting in place the people and structures needed to enable construction to start in 2017. An integrated Programme Management Office is being created under the responsibility of the new HS2 Ltd Programme & Strategy Director. This will cover all aspects of the programme including DfT, HS2 Ltd and Network Rail. An initial draft of the Outline Procurement Strategy (OPS) for Phase 1 has been developed. Our strategy for supply chain management includes ongoing engagement with industry. The first HS2 Supply Chain Conference in Birmingham in November 2013 set out our OPS to the supply chain. A programme of work is underway to get ready for construction. A Baseline Programme is in place (Baseline 3) and the HS2 Phase 1 Programme Execution Plan (PEP) has been initiated to define scope and identify key inputs to the document. A critical path for Rolling Stock procurement has been developed to ensure alignment with the programme. | The Shared Services Future Project became the Shared Services Implementation Programme (SSIP) after the DfT divested the Shared Services centre to arvato on 1st of June 2013. SSIP compromises the migration of the DfT agencies on to arvato’s new infrastructure, in two phases one in July 2014 and one in October 2014. The delivery confidence recognises the challenging timeline, the complexity of the programme and more importantly the challenges faced by the supplier in standing up its infrastructure. The SSIP board and team continue to monitor the supplier and delivery of the programme very closely. Despite considerable challenges, there remains a palpable desire and recognition from all parties that the overall delivery plan remains achievable. |
| Project - Start Date (Latest approved start date) | 01/06/2005 | 22/07/2008 | 01/07/2005 | 31/08/2011 | 26/03/2013 | 26/03/2013 | 26/03/2013 | 01/03/2011 | 01/09/2012 | 08/02/2011 | 28/02/2011 | 10/12/2010 |
| Project - End Date (Latest approved end date) | 31/12/2019 | 31/12/2019 | 31/12/2018 | 31/07/2012 | 14/09/2014 | 06/02/2015 | 30/11/2014 | 30/12/2015 | 12/03/2020 | 08/09/2017 | 31/12/2033 | 01/06/2015 |
| Departmental narrative on schedule, including any deviation from planned schedule (if necessary) | The Intercity Express Programme is on schedule | The Crossrail programme is on schedule | The Thameslink programme is on schedule | completed | Project progressing to the scheduled dates published in the March 2013 Programme PIN. These dates remain dependant on meeting the challenging timescales given that these are the first franchises to go through the new process, and that there are a number of risk & challenges associated with this. | Project progressing to the scheduled dates published in the March 2013 Programme PIN. These dates remain dependant on meeting the challenging timescales and incorporating the lessons learnt from the forerunning Essex Thameside & TSGN Franchise Projects. | Project progressing to the scheduled dates published in the March 2013 Programme PIN. These dates remain dependant on meeting the challenging timescales given that these are the first franchises to go through the new process, and that there are a number of risk & challenges associated with this. | In October 2013 DVLA, in consultation with DfT and Cabinet Office stood down activity on CLPP in order to ensure that it's requirements, particularly around procurement, were fully understood and in line with the Agency’s overall technology and transformation plan. A subsequent period of analysis has confirmed CLPP was unlikely to deliver the expected benefits as planned and therefore it was necessary to deliver change more rapidly in order to transform DVLA's IT estate. Building on the work delivered through CLPP, the Strategic Transform Portfolio was formally launched in January 2014 and includes the work required to exit the PACT contract and conduct the procurement necessary to support the transformed estate. | The project is nearing the end of a combined PCF Stage 0, 1 and 2 (scheduled for October 2013). This combined stage approach has been delivered to programme and there are no deviations to report. | The programme remains on course to deliver against two of the key programme deliverables (infrastructure and recruitment), the contractor has experienced delay in regulatory certification of the new, smaller airframe, which may impact upon the entry into service of the first helicopter. The Contractor and MCA have explored a range of contingencies, which have assured the MCAs Aviation Programme Board that the delay will have no impact upon launching SAR services against Operational Delivery milestones. The delivery of the larger airframe remains on course. | Comments on Schedule The programme has made excellent progress since the last published report in May 2013, having delivered to plan on all milestones. Phase 1 • 13 May - The High Speed Rail Preparation (Paving) Bill was introduced into Parliament on. • 26 June - Second reading of the Paving Bill. • 29 October - We published ‘The strategic case for HS2’ setting out how HS2 will deliver capacity, connectivity and growth for the UK. • 21 November - We secured Royal Assent of the Paving Bill with a majority of 350 to 37 at Third Reading demonstrating Parliament’s strong commitment to the scheme. • 25 November - We deposited the hybrid Bill for Phase1 into Parliament on schedule. • 26 November – We launched the Environment Statement consultation. • 22 January - We achieved a comprehensive victory in the Supreme Court against judicial challenges to HS2, including endorsement by the Supreme Court of our approach to assessing impacts of the scheme on the environment. • 27 February - The Environmental Statement Consultation formally closed. Early indications are that we have received around 21,700 responses to the consultation. • 6 March - We published the Management, Financial, Economic and Commercial cases for HS2 on the gov.uk website. • 7 April - A report provided to Parliament on 7 April in preparation for Second reading of the Bill following analysis of the 21,700 responses to the Environmental Statement Consultation. • 28 April - MPs voted overwhelmingly in favour of the High Speed Rail Bill at Second Reading with a majority of 452 to 41. Preparing for Delivery • 5 November – A summary of the initial draft of the Outline Procurement Strategy (OPS) that we have developed for the main construction elements of Phase One was shared with industry at the first Supply Chain Conference. • 19 November 2013 - The Secretary of State appointed HS2 Ltd as the delivery agent for Phase One. • 1 January – Sir David Higgins took up his role of Chairman of HS2 Ltd. • 6 January - A joint DfT/HS2 Ltd communications campaign team, led by Tom Kelly, was established providing a focus for success of the hybrid Bill at Second Reading. • 21 January - We have moved the project into new governance arrangements to support the next phase of work– formalising their role in the project through a Tripartite (DfT/ HS2 Ltd/ NR) Cooperation Memorandum, signed on the 21 January at the first meeting of the Tripartite Cooperation Board to act as a strategic, steering board for the programme. • 10 February - Patrick O'Connell took up his post as interim Director of Programme and Strategy. • 3 March - Heads of Terms for the Development Agreement were produced. • 18 March – Heads of Terms for the Development Agreement were reviewed by ExCo who agreed the direction of travel. Work is ongoing on the Development Agreement that will formalise the relationship, roles and responsibilities of DfT and HS2 and is due to be agreed in summer 2014. • 17 March 2014 - Sir David Higgins’ report “HS2 Plus” was published setting out proposals to build HS2 better and bring benefits to the north sooner, proposing improvements to the scheme following a review of the programme started in January. • 17 March The Government welcomed Sir David Higgins’ report on how HS2 can be delivered better, quicker and have responded by: o Accepting the current design of the HS2-HS1 link does not work and committed to taking the necessary steps to remove the HS2-HS1 link from the Phase One hybrid Bill along with commissioning a study into options for ways to improve connections to the continent which could be built once the initial stages of HS2 are complete. o Welcoming the proposal to go to Crewe earlier - by 2027 not 2033 and on this option commissioning HS2 Ltd to do work so it can be considered as part of the public consultation responses to Phase Two. o Agreeing with Sir David’s ambition for Euston to be a world class station that supports the aspirations of the local community, intercity passengers and commuters and starting work to explore a better option. o Welcoming Sir David Higgins’ confirmation that HS2 is the right project at the right price and the budget set by the government stands. Property • On April 9 - an improved package of compensation measures for property owners along the phase one of the route was announced. This was accompanied by the announcement of a new independent Residents’ Commissioner, who will hold HS2 Ltd to account on its handling of compensation applications. • 9 July - Safeguarding Directions were issued for Phase One. • 17 July - we announced the outcome of the Phase Two Exceptional Hardship Scheme (EHS) consultation and launched the scheme. • 12 September - We launched the property re-consultation for Phase One on. • 30 September - The property consultation roadshows started on 30 September. • 24 October – Safeguarding Directions were updated to reflect design refinements. • 2 November – The property consultation roadshows concluded. • 25 November - The Government announced three measures for the owners of properties above tunnels: ‘Before and after surveys’ of properties which may be at risk of subsidence due to tunnelling; ‘Settlement Deeds’ providing a legal guarantee that any damaged cause to properties due to tunnelling will be repaired by HS2 Ltd; and purchase of ‘Subsoil rights’ for a nominal sum following Royal Assent of the Phase One hybrid Bill. An approach to the replacement of lost social rented housing was also published. • 4 December - The property consultation concluded on. In total 17,773 responses were received. These were reviewed throughout December and into early January. Significant analytical work was undertaken during this period to evaluate potential property compensation schemes. • 24 January - The first property purchase was made in Chipping Warden (Oxon) as a result of a blight notice being served in a safeguarded area. Need to include the announcement on the property compensation for phase 1 Funding • 29 April - Following constructive discussions with the Treasury, the department submitted its initial spending round bid. • 27 June - Spending Round 2013 agreed a long-term funding allocation for HS2.This provides long term funding certainty and signifies the commitment of the Treasury to the project. This is made up of £42.6bn for construction and £7.5bn for rolling stock (2011 prices). • 27 June - HS2 Ltd was set a target price to deliver Phase One of the project of £17.16bn. This was outlined in the ‘remit letter’ from the Secretary of State to the Chairman of High Speed 2 Ltd of 27 June. We have established a framework of delegations and approvals for Phase One in which to manage the funding thresholds held by HS2 Ltd, DfT and HM Treasury to incentivise cost control. • 15 November - HS2 Ltd introduced the Estimate of Expense to parliament. This is a single page summary that sets out the estimated cost of the works for Phase One of the HS2 line of route between London and the West Midlands. The format and breakdown of the structure are specified under the requirements of the House of Commons. • 17 March - Sir David Higgins’ report, “HS2 Plus” carried out a rigorous review of the costs of Phase One and the cost of contingency and confirmed the Phase One budget is right. He proposed to use any savings to protect contingency at this early stage in the parliamentary process and the Government supported that. Wider Benefits • 27 June – Lord Deighton was confirmed as chairman of The High Speed 2 (HS2) Growth Task Force to advise the Government on how to maximise economic growth and job opportunities from the government’s plans to build a high speed rail network. • 31 July – The membership of the Growth Task Force was confirmed. • September – January - The Growth Task Force held evidence gathering sessions in Birmingham, Manchester, Loughborough, Sheffield, Leeds, Liverpool and London. • 13 January - Plans for a new college to train the next generation of world-class engineers to work on the construction of High Speed Two (HS2) were announced. • 7 March - Cities were invited to express an interest for the HS2 Skills College by 7 March. • 21 March - The Growth Task Force published findings and recommendations to the Secretary of State. The report sets out the main challenges the Growth Task Force can see in maximising the benefits from HS2 and sets out 19 recommendations which challenge the Government, local authorities (and their partners), HS2 Ltd, businesses and skills providers to help the country ‘Get Ready’ for HS2. The 19 recommendations are set out into four areas; getting our cities ready, getting our transport network ready, getting our people ready and getting our businesses ready. Phase Two • 17 July - We launched the consultation on the route for Phase Two (Birmingham-Leeds and Manchester). • 18 October - The Phase Two consultation roadshows began and the 37 roadshows ran in towns along the length of the Phase Two route. • 15 January – The Phase Two consultation road shows concluded and there were approximately 8000 attendees at the roadshows. • 31 January – The consultation on the route for Phase Two (Birmingham-Leeds and Manchester) closed. We received approximately 10,000 responses and we are currently considering these. • 17 March - David Higgins’ report, “HS2 Plus”, set out a clear proposal to accelerate construction so that the Crewe section of Phase Two can be completed by 2027, not 2033, and to build a new integrated hub station at Crewe. He also recommended integrating Phase Two with existing rail network to maximise connectivity. We commissioned HS2 Ltd and Network Rail to undertake work allow both of these proposals to be considered in detail during the consideration of the public consultation responses to Phase Two. | on schedule |
| 2013/2014 Budget (£million) | 6 | 1200 | 43.04 | 0 | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | 8.994 | 5.878 | 0 | 347.6 | 35.4 |
| 2013/2014 Forecast (£million) | 5.38 | 1199.1 | 43.04 | 0 | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | 8.994 | 5.878 | 0 | 347.6 | 31.22 |
| 2013/2014 Variance (£million) | -0.62 | -0.9 | 0 | 0 | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | 0 | 0 | 0 | 0 | -4.18 |
| 2013/2014 Variance %age | -10.33% | -0.08% | 0.00% | 0.00% | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | 0.00% | 0.00% | 0.00% | 0.00% | -11.81% |
| Total budgeted whole life costs (£million) (including non-government costs) | 1308.35 | 14518.98 | 4796.04 | 16840.61 | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | Exempt under Section 43(2) of the Freedom of Information Act (2000) | 79.770022 | 1519.318 | 1923 | 42600 | 222.27 |
| Departmental narrative on budget/forecast variance for 2013/14 (if variance is more than 5%) | This represents the position for Quarter 2 (September 2013). By the end of the financial year (March 2014), the budget had reduced to £3.7m with an outturn of £3.5m. | NA | No significant variances from forecast | n/a | n/a | n/a | n/a | n/a | There is no variance on budget / forecast for Q2 2013/14. The project team will continue to monitor forecast costs against budget in line with our internal governance and financial procedures and address any issues that may be identified. | Not Applicable | NA | N/A |
| Departmental narrative on budgeted whole life costs | In July 2012, DfT signed the £4.9 billion Intercity Express Programme contract with the Agility Trains consortium to supply new train on the GWML. The new trains will be operational by 2018 on the Great Western Mainline. East Coast Mainline negotiations reached commercial close in July 2012 and achieved financial close in April 2014. Network Rail infrastructure compatibility upgrades for the Intercity Express Programme are identified in the strategic business plan and are reported against on a monthly basis. | Cost included in the total whole life cost is the expected capital of the Crossrail programme excluding rolling stock and depot contract | The whole life cost represents spend during the construction period. Previous reports included lease payments for rolling stock which have now been excluded as the project is expected to be cash positive during its operational period. | The cost to the department of delivering the HLOS programme is the net of the Network Rail Grant (CDEL) and net income the DfT received from Train Operating Companies. The net income is inherently volatile because the Department has contractual arrangement to take on some of the revenue risk. We forecast this on at least a quarterly basis. The reduction in the budget between quarters two of 2012/13 and 13/14 is the result of an increase in the amount of income we expect from Train Operating Companies | n/a | n/a | n/a | The CLP Programme entered a period of controlled closure in October 2013. Actual expenditure to CLPP closure in financial year 2013/14 was £2.7m. Total CLPP whole life costs to Programme closure were £4.4m. | The budgeted whole life cost includes funding from 2015/16 that accords with the HA bid and confirmed settlement as part of spending round 2013 (SR13). These figures were derived from the scheme cost estimate at that time. Expenditure across years 2013/14 and 2014/15 will be funded from within the HAs current SR10 allocation and is based on the latest expected forecast. | Budgeted whole life cost [of £1,923m] is the headline cost figure [£1.6bn] for the contract plus the associated non-recoverable VAT. This represents a significant saving against the previously reported whole life cost figure [of £3,286m] as a result of the procurement strategy requiring a shift away from a PFI-negotiated contract to a contract procured under the Competitive Dialogue process. Contract costs will only be incurred once operational delivery commences in April 2015. | The 2013 Spending Round provided the long term certainty required to build High Speed 2 by setting a funding envelope of £42.6 billion (in 2011 prices excluding VAT) for construction costs. This provided a clear funding envelope within which the Government will aim to deliver HS2. In addition, in order to ensure the project can start construction in the next Parliament, the Government has set a detailed budget for HS2 from 2015-16 to 2020-21 of over £16 billion. The Government has learned from the successful delivery of the London 2012 Olympic Games, and is setting a cost control framework to ensure the project remains affordable to the nation over the coming two decades. Sir David Higgins' report HS2 Plus, confirmed that the cost estimates for constructing Phase One are right and that any savings should be used to protect the contingency at this early stage. | The whole life costs have been calculated on the basis of the 10 year contract term. |