Firms paid over 拢360m in the three months after government ordered review of scheme

Construction firms earned around 拢4m a day from work on HS2 during the three months after the scheme was put under review last summer.

The National Audit Office revealed last month that 拢7.2bn was spent on HS2 up to April 2019. But 黑洞社区 can reveal that at least 拢363m was paid to construction firms in August, September and October following the government鈥檚 decision to ask Douglas Oakervee to lead an independent review of the project.

Washwood Heath 1

Laing O鈥橰ourke and Murphy have been clearing sites in and around Birmingham, including this one at Washwood Heath where an HS2 train maintenance depot is planned

Department for Transport data documenting all payments of more than 拢25,000 from August to the end of October, the most recent months for which the figures are available, shows how much contractors and consultants stand to lose.

A joint venture carrying out all HS2 demolition and enabling works inside the M25 earned Costain/Skanska 拢65m, the most during the three-month period.

The next biggest earner was a team made up of Laing O鈥橰ourke and Murphy. Their joint venture was responsible for similar work between Leamington Spa in Warwickshire and Birmingham, for which it was paid almost 拢50m.

The third demolition and enabling team, comprising Morgan Sindall, Bam Nuttall and Ferrovial and responsible for work between the M25 and Leamington Spa, earned just under 拢30m.

Consultant Arup, which holds a number of contracts on the project including responsibility for the design of Interchange station in Birmingham, was paid nearly 拢43m.

The next biggest earners were the four phase-one main civils contractor teams, even though the firms are yet to be given the go-ahead by the government to start on site.

A Bouygues, VolkerFitzpatrick and Sir Robert McAlpine team was paid nearly 拢30m, while an Eiffage/Kier team, which had also included Carillion before its collapse, was paid 拢25m.

A Balfour Beatty/Vinci JV earned just under 拢27m over the three months, while a team featuring Skanska, Costain and Austrian tunnelling specialist Strabag was paid 拢21m.

The bosses of Mace, Kier and Sir Robert McAlpine were among industry chiefs to write to the prime minister calling for HS2 to be built in its entirety. They said it would create 30,000 jobs, improve modern methods of construction and boost the UK鈥檚 industrial capacity.

The bosses described the scheme as the only shovel-ready project of this scale in the UK. The letter added: 鈥淚t would take many years to get an equivalent pipeline of work in place, by which time the damage would already be done to the supply chain.鈥

Other firms who signed the letter included Balfour Beatty, Morgan Sindall, Skanska and Costain.

How much were firms paid for working on HS2?

  August 2019 September 2019 October 2019 Total
Aecom 拢5,834,766.04 拢4,815,052.07 拢4,434,646.84 拢15,084,464.95
Align JV (Bouygues, VolkerFitzpatrick, Sir Robert McAlpine) 拢6,192,191.48 拢16,670,883.68 拢6,970,257.60 拢29,833,332.76
Atkins 拢172,142.79 拢0.00 拢0.00 拢172,142.79
Balfour Beatty 拢1,617,785.03 拢2,110,211.98 拢1,965,725.73 拢5,693,722.74
Balfour Beatty/Vinci 拢5,013,719.04 拢6,561,570.71 拢15,171,635.36 拢26,746,925.11
Bam Nuttall 拢0.00 拢192,698.22 拢409,262.87 拢601,961.09
Bechtel 拢1,321,010.21 拢1,187,279.08 拢1,294,399.12 拢3,802,688.41
CH2M 拢38,337.51 拢141,420.52 拢0.00 拢179,758.03
Costain Skanska 拢20,245,240.27 拢20,221,019.90 拢24,932,410.00 拢65,398,670.17
Eiffage/Kier 拢6,365,484.27 拢9,525,427.11 拢9,568,383.78 拢25,459,295.16
Fusion JV (Morgan Sindall, Bam Nuttall, Ferrovial) 拢7,825,044.07 拢9,870,577.82 拢12,145,108.60 拢29,840,730.49
Gardiner & Theobald 拢63,075.00 拢0.00 拢78,990.00 拢142,065.00
Lendlease 拢1,056,314.93 拢0.00 拢1,095,404.60 拢2,151,719.53
Laing O鈥橰ourke/Murphy 拢15,036,968.94 拢15,292,075.94 拢19,640,767.07 拢49,969,811.95
Mace/Dragados 拢1,064,697.84 拢1,587,745.67 拢1,427,223.85 拢4,079,667.36
Mott MacDonald 拢277,425.36 拢0.00 拢345,941.49 拢623,366.85
Mott MacDonald/WSP JV 拢4,996,592.76 拢5,785,468.31 拢4,299,407.45 拢15,081,468.52
Mouchel 拢210,538.34 拢678,192.56 拢418,116.42 拢1,306,847.32
Ove Arup 拢12,181,093.31 拢15,637,870.90 拢14,825,738.11 拢42,644,702.32
Perfect Circle 拢0.00 拢172,060.60 拢337,131.33 拢509,191.93
Skanska Costain Strabag 拢7,919,837.60 拢1,173,275.19 拢11,947,741.24 拢21,040,854.03
Turner & Townsend 拢1,818,743.40 拢951,871.80 拢2,034,943.73 拢4,805,558.93
WSP 拢7,878,683.88 拢4,268,578.72 拢6,131,563.08 拢18,278,825.68
Total 拢107,173,370.07 拢116,886,989.78 拢139,518,537.27 拢363,578,897.12

Source: Department for Transport

This story was originally published on 29 January and updated on 11 February