HS2 West Midlands-Manchester line to be scrapped

Rishi Sunak is to announce the scrapping of the HS2 high-speed rail line from West Midlands to Manchester on Wednesday, the BBC understands.

In his conference speech, the prime minister is expected to set out a range of alternative projects in the north of England and Wales.

He is likely to argue these projects will be a better use of money and can be delivered more quickly.

It comes after weeks of speculation about the future of the line.

Rumours it could be scrapped have already prompted anger among local leaders and businesses.

Labour Manchester Mayor Andy Burnham said the reports were "profoundly depressing", while Conservative Birmingham Mayor Andy Street said a cancellation would damage the UK's international reputation.

The football club Manchester United were among 30 businesses who wrote to the prime minister urging him to commit to he line and avoid "economic self-sabotage".

However, there had also been concerns about the mounting costs of the infrastructure project, with the latest estimates amounting to about £71bn.

Last month Defence Secretary Grant Shapps said it would be "crazy" not to review the project, particularly given the rise in inflation.

In recent days, when asked about the future of HS2, ministers have highlighted the importance of improving east-west links in the north of England.

For example, Northern Powerhouse Rail (NPR) aims to improve connections between Leeds, Manchester and Liverpool.

However, the project has been designed to intersect with HS2, using a section of the high speed line, and if HS2 does not continue to Manchester this would increase the costs of NPR.