Parliament Follow-up

United Kingdom: Public Accounts Committee report on HS2 after the Northern leg cancellation (2025)

Last checked: 22 October 2026 · Recommendation records

The House of Commons Committee of Public Accounts published HS2: Update following the Northern leg cancellation (HC 357) on 28 February 2025 1,2. It made eight recommendations to the Department for Transport and HS2 Ltd 2. In its Treasury Minute of May 2025 (CP 1328) the government agreed with seven and disagreed with recommendation 3 on reporting contract renegotiations 2. The June 2026 Treasury Minutes Progress Report carries an update on the report 1,3.
Parliament
House of Commons, United Kingdom 1
Committee
Committee of Public Accounts 1
Report
HS2: Update following the Northern leg cancellation, Tenth Report, HC 357 1
Published
28 February 2025 1,2
Audit relied on
National Audit Office, HS2: update following cancellation of Phase 2 (HC 128) 2
Evidence session
Department for Transport, 19 December 2024 2
Government response
Treasury Minutes, CP 1328, published 16 May 2025 1,2
Position
Agreed with recommendations 1, 2 and 4 to 8. Disagreed with recommendation 3 2
Latest update
Treasury Minutes Progress Report, CP 1593, published 4 June 2026 1,3

Background

The Treasury Minute summarises the committee's introduction. It notes the October 2023 decision to cancel all Phase 2 stages of HS2 and the cost estimates for Phase 1 2. The committee based its work on the National Audit Office report HS2: update following cancellation of Phase 2 and took evidence from the Department for Transport on 19 December 2024 2.

The committee has published three earlier HS2 reports with government responses: High Speed 2: Progress at Summer 2021 (22 September 2021), HS2 Euston (7 July 2023) and HS2 and Euston: Recall (7 February 2024) 1.

The recommendations and the government's position

The table gives each recommendation as reproduced in the Treasury Minute, shortened to its opening words, with the government's position and target date 2.

No.Recommendation (opening words)Government positionTarget date
1"The Department and HS2 Ltd should write to the committee before the 2025 summer recess" 2Agrees 2Summer 2025 2
2"Alongside its Treasury Minute response, the Department should write to the committee" 2Agrees 2Spring 2026 2
3"The Department's six-monthly progress updates to Parliament should include progress on contract renegotiations" 2Disagrees 2None 2
4"In its letter to us before the 2025 summer recess, the Department should set out how it will work with" 2Agrees 2Summer 2025 2
5"The Department should, alongside the reset of the programme, set out how gaps in skills and capabilities" 2Agrees 2December 2026 2
6"The Department should include in the six-monthly update to Parliament an update on its progress on Euston" 2Agrees 2Summer 2025 2
7a"HS2 Ltd should carry out as soon as possible an assessment of residential property" 2Agrees 2Summer 2025 2
7bThe Department should include in its six-monthly update "the timetable for both decision-making regarding all property no longer needed" 2Agrees 2Summer 2025 2
8"Alongside its Treasury Minutes response, the Department should write to the committee" 2Agrees 2Summer 2025 2

What the government said

On recommendation 3 the government said it may not be possible to set out details, including levels of savings, as long as renegotiations are ongoing (paraphrased) 2. On recommendation 2 it said it planned "to finalise the cost estimating methodology over the summer" 2.

On recommendation 5, the Treasury Minute says a change programme to reshape the organisation has started as part of the reset (paraphrased) 2. On recommendation 7 it said the department "will take time to carefully develop a disposal programme that delivers value for money" 2. On recommendation 8 it said "The department will write to the Committee outlining the key areas of lessons" 2.

Outcome status as of 22 October 2026

The committee's publications page links the latest Treasury Minutes Progress Report entry on the Tenth Report, published on 4 June 2026 1. That document is CP 1593 3. This page could not read the HS2 entry inside it, so the status of each recommendation in that update is not given here 3.

  • Recommendation 3: Not implemented. The government disagreed in May 2025 2.
  • Recommendation 5: Pending. Target date December 2026 2.
  • Recommendations 1, 2, 4, 6, 7a, 7b and 8: target dates of summer 2025 or spring 2026 have passed. Status in the June 2026 progress report not confirmed by this page 1,3.
  • Committee correspondence or letters received from the department on this report: No public record found as of 22 October 2026.

Common questions

Did the government accept the PAC's HS2 recommendations?

It agreed with seven of eight and disagreed with recommendation 3, according to the May 2025 Treasury Minute 2.

Why did the government reject recommendation 3?

It said details of savings may not be possible to set out as long as renegotiations are ongoing 2.

When was the PAC report published?

28 February 2025, as the Tenth Report, HC 357 1.

Where is the latest update?

The Treasury Minutes Progress Report of June 2026, CP 1593 1,3.

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Sources

  1. Committee of Public Accounts: Reports and government responses on HS2 (publications listing)
  2. HM Treasury: Government Response to the Committee of Public Accounts on the Fifth and the Tenth to the Seventeenth reports from Session 2024-25, Treasury Minutes, CP 1328 (May 2025)
  3. HM Treasury: Treasury Minutes Progress Report, CP 1593 (June 2026)

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