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Anorak | We Don’t Need No Steenkin’ Infrastructure

We Don’t Need No Steenkin’ Infrastructure

by | 13th, July 2011

THE government is proposing to spend squiddely £ billions  on a new high speed train line to connect the North with the South. This has its good parts, it’ll cut through the back gardens of lots of rich people and piss them off for example.

It also has its bad, like allowing Scousers greater access to London, people in Salford might even discover the civilisation we have in the South.

However, none of these are the real reasons to be either in favour or against the HST scheme. This is :

“Cost overruns in the order of 50 percent in real terms are common for major infrastructure, and overruns above 100 percent are not uncommon,” Bent Flyvbjerg, a professor of major program management at the University of Oxford’s Said Business School, writes in the Oxford Review of Economic Policy. “Demand and benefit forecasts that are wrong by 20-70 percent compared with actual development are common.”

Cost overruns here means that the final cost of building such a public works project comes out at 50-100% more than whatever anyone says at the start. In fact, I’m told there there has only ever been one underbudget public works scheme in the UK:

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Posted: 13th, July 2011 | In: Money Comment | Follow the Comments on our RSS feed: RSS 2.0 | TrackBack | Permalink