Government slammed over ‘scam’ HS2 rail promise as Leamside line u-turn sparks fury
Rishi Sunak’s £36bn pledge vanishes from the website
The UK government is under fire for apparently pulling a fast one on Northern taxpayers. Chancellor Rishi Sunak’s big reveal of a £36 billion investment spree for the North and Midlands included reopening the Leamside rail line in the North East — a move funded by the scrapped HS2 northern leg.
But soon after the announcement, all mention of the Leamside line mysteriously disappeared from the government’s own website, raising serious questions about whether the public has been misled.
Transport minister backtracks: ‘Just looking into it’
Transport Minister Richard Holden quickly stepped in to cool expectations, insisting the government has only committed to “looking into” the Leamside line. He stressed the need to work with local partners and consider multiple uses for the old rail route, which has been closed since 1964.
The line’s reopening could be funded by a £1.8 billion pot aimed at improving local transport, but the government stops short of a firm promise.
Experts and locals cry foul: Northern Powerhouse calls it a “fairytale”
The Northern Powerhouse Partnership branded the government’s Network North plans a “fairytale.” CEO Henri Murison blasted Prime Minister Sunak’s credibility, warning that the public is being misled and vowed to demand urgent clarity.
Meanwhile, Northumbria Police and Crime Commissioner Kim McGuiness slammed the announcement outright, calling it a “scam” and accusing ministers of betraying the North if they fail to deliver.
Campaigners have long pushed for the Leamside Line to reopen, potentially linking the Tyne and Wear Metro network all the way to Washington. The government’s wavering stance has only inflamed tensions.
Department for Transport fights back
The DfT insisted the £1.8 billion allocated to the North East is real cash, shuffled from the HS2 budget after the project’s northern section was scrapped. They highlighted ongoing discussions with Transport North East to build a solid business case for reopening the Leamside line.
Market moves: Citigroup tips Japanese stocks, slams UK energy
In a tangential but notable update, Citigroup upgraded Japanese stocks to “neutral,” citing Japan’s robust economy and earnings resilience. Conversely, UK shares were downgraded to “underweight” due to heavy exposure to volatile oil prices.
Citigroup also downgraded the global energy sector to “underweight,” anticipating a bearish outlook for oil. Despite a tough 2023 forecast, with global earnings expected to shrink by 1%, the firm predicts a 9% bounce back in 2024.
