HS2 to Pay £300m to Train Companies

What happened

HS2, the high-speed rail project between London and Birmingham, faces a £300m compensation bill for disruptions to existing train services. The most significant impact will be at Paddington Station, where closures will affect Great Western Railway (GWR) services during key travel periods, especially around Christmas, until 2030.

Why it matters

The compensation will be paid to train companies, not passengers. Disruptions - lasting up to six years - will divert some GWR services to London Euston, impacting travelers from southwest England and Wales. Though HS2 offers long-term benefits, daily commuters face short-term challenges.

Catch-up

HS2 is compensating for disruption through Network Rail’s “Schedule 4” for planned disruptions and “Schedule 8” for unplanned ones.

• In 2022-23, Network Rail paid out £785m in compensation, more than double what was anticipated.

• The work is focused on the new Old Oak Common hub in west London, a major junction for HS2 that will connect with London’s rail network.

By the numbers

• £300m: Estimated HS2 compensation for disruption.

• £785m: Network Rail’s total schedule 4 compensation for 2022/23.

• 2030: Year the disruptions are expected to end.

What’s next

HS2 continues to face cost, delay, and environmental challenges. Whether the line will extend to London Euston is still under review. Most disruptions will happen during quieter travel periods like Christmas, aiming to limit passenger impact.

Bottom line

While HS2 promises to transform the UK’s rail network, passengers will face significant disruptions for six more years. The £300m compensation highlights the challenge of balancing progress with maintaining everyday services.