The Skanska Costain Strabag joint venture (SCS JV) has been granted an additional £150 million, increasing their budget for the construction of HS2’s London segment.
- The extra funding is attributed to alterations in the project’s scope of work, reflecting the complex nature of large-scale infrastructure projects.
- Originally valued at £3.4 billion, the contract has seen regular financial adjustments, now reaching approximately £4.2 billion.
- Operations feature multiple tunnel boring machines, with significant portions of tunnelling between West Ruislip and Old Oak Common completed or underway.
- Additional tunnel boring machines are under construction to extend tunnels towards London Euston.
The decision to allocate an additional £150 million to the Skanska Costain Strabag joint venture (SCS JV) highlights the dynamic and continually evolving nature of large infrastructure projects such as HS2. These projects often encounter changes in scope, necessitating adjustments in funding to meet new requirements. The original contract for SCS JV was valued at £3.4 billion, but with regular changes aligned with the project’s demands, the current contractual value has risen to approximately £4.2 billion.
SCS JV received authorization to commence work from HS2 Ltd in April 2020, marking the start of a series of ambitious tunnelling endeavours. By late 2022, two tunnel boring machines (TBMs) were engaged in constructing 13.5 km of twin bored tunnels that link West Ruislip and the hub station at Old Oak Common. In early 2024, two additional TBMs started operations, further progressing this engineering feat.
A separate, fifth TBM dedicated to creating a logistics tunnel completed its path in January 2024, underscoring the project’s sequential progression and the need for precise logistical planning. Additionally, the preparation of two more TBMs is currently underway; these will play a pivotal role in connecting the tunnels to London Euston, marking a critical phase in the HS2 project’s extension and development.
The continued development and adaptation embody the complexities associated with urban infrastructure projects where both engineering challenges and financial recalibrations are part of the operational landscape. These adjustments ensure that the project remains on course, adhering to its revised timeline and adjusted expenditure framework.
The additional funding underscores the ongoing complexities and financial dynamics involved in delivering major infrastructure projects like HS2.
