MPs criticise Network Rail鈥檚 management of major projects

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The Public Accounts Committee has launched a withering attack on the government鈥檚 programme to modernise and electrify the Great Western rail route, citing serious failings in the project鈥檚 design, planning, and cost estimation.

MPs found that costs rose by a 鈥渟taggering鈥� 拢1.2bn in the space of 12 months and said it was unclear whether the project could even be delivered by the end of December next year and within the allotted 拢2.8bn budget.

In a damning report the PAC warned that 鈥渟ignificant flaws鈥� identified in the project had raised concerns about the ability of the Department for Transport and Network Rail to manage similar projects in future.

These include the planned electrification schemes on Midland Main Line and TransPennine routes.

Network Rail 鈥渕ust improve its ability to produce realistic cost estimates鈥�, the committee said, 鈥渁nd make sure that robust and detailed plans are in place for infrastructure projects before starting construction鈥�.

And the Department of Transport ought to reassess the case for electrification section-by-section and fund schemes 鈥渙nly where worthwhile benefits for passengers could not be achieved otherwise at lower cost鈥�.

The Department and Network Rail 鈥渕ust plan major developments to rail services in a way which brings together trains, infrastructure work and the operation of services, obtaining independent assurance on their plans鈥�.

Chair of the PAC, Labour MP Meg Hillier, said: 鈥淢ismanagement of the Great Western programme has hit taxpayers hard and left many people angry and frustrated.

鈥淭his is a stark example of how not to run a major project, from flawed planning at the earliest stage to weak accountability and what remain serious questions about the reasons for embarking on the work in the first place.鈥�

Hillier described the sums of public money wasted, including 拢330m additional costs to be met by the Department of Transport just to keep the trains running because of delays to electrification as 鈥渁ppalling鈥�.

The government accepted it had got the project 鈥渂adly wrong and must now demonstrate it has learned the lessons鈥�.

鈥淓lectrification was heralded with the promise of benefits to passengers but the Government has a duty to determine if, in fact, these benefits can be delivered in a more timely and cost-effective way,鈥� she added.

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