Source · Select Committees · Public Accounts Committee

Recommendation 22

22

The Department and HS2 Ltd asserted that many of the jobs from the programme will...

Conclusion
The Department and HS2 Ltd asserted that many of the jobs from the programme will go to those who live locally to construction sites. However, the West Midlands Combined Authority told us that of a high number of the jobs promised to be created from work at Delta Junction, just outside Birmingham, only 35 went to local people. HS2 Ltd told us that these 35 jobs related to a specific job advert issued by one of its contractors.52 We are also mindful of the experience of the London Olympics where the number of real, sustainable jobs for local residents was somewhat overstated by people claiming a local postcode when they were, in practice, moving in and out of the site areas on a weekly 49 Qq 5, 63; Committee of Public Accounts, Progress with preparations for High Speed 2, Fourteenth Report of Session 2016–17, HC 486, 14 September 2016, conclusion 5; Committee of Public Accounts, High Speed 2: a review of early programme preparation, Twenty-second Report of Session 2013–14, HC 478, 9 September 2013, para 4, Q187 50 Qq 5, 63–64; Oral evidence: HS2 recall – pre panel, HC 178, Qq 2–4, 6 51 Qq 63–65 52 Qq 64, 69–71; Oral evidence: HS2 recall – pre panel, HC 178, Qq 53–54 HS2 Summer 2021 17 basis. We asked what lessons the Department and HS 2 Ltd had taken from this and how it would ensure that communities benefit from the programme. HS2 Ltd told us that it was doing some work on postcode tracking and had asked suppliers to evidence how they were assuring themselves that local opportunities were truly local.53
Government Response Acknowledged
HM Government Acknowledged
4.1 The government agrees with the Committee’s recommendation. Recommendation implemented 4.2 The department wrote to the Committee in November 2021 setting out its benefits approach for the HS2 programme and stated that they are committed to maximising benefits and minimising negative impacts. This includes maximizing positive outcomes; from increasing rail capacity and connectivity to reducing carbon emissions and delivering on jobs and skills, but also mitigating disbenefits including road disruption during construction. 4.3 HS2 Ltd will publish, and share with stakeholders, its first bi-annual Benefits Update. This publication will build on the data shared in the third HS2 6-monthly report to Parliament and highlight through case studies the strong work being undertaken on benefits. 4.4 HS2 Ltd has a strategy to identify, monitor and evaluate the core benefits funded and within scope of the programme and has implemented ‘Benefits Baselines’ for each of its phases, linked to the strategic and economic objectives in the relevant business cases. The department and HS2 Ltd are working towards the publication of a joint Benefits Management and Evaluation Strategy next year. In addition to the benefits directly arising from the work on the programme the department is focused on maximizing wider benefits catalysed by HS2. The department is working with other government departments as their support and collaboration is needed to unlock these opportunities, via regular engagement and through appropriate governance. 4.5 HS2 offers a major opportunity to catalyse local regeneration, supporting the government’s Levelling-up agenda. A devolved approach has been taken to regeneration at HS2 station places, with local government leading and central government in support. The department is working closely with the Department for Levelling Up, Housing and Communities, to determine how central government can help local places make the most of HS2.