Posted 27th January 2014 | 2 Comments
McLoughlin defends top HS2 salaries
LARGE salaries which are being paid to some senior HS2 managers have been defended by the transport secretary, who said the scheme deserved the best people.
Patrick McLoughlin was under fire after it had been revealed that Simon Kirby of Network Rail will receive an annual salary of £750,000 when he moves to HS2 Ltd, where he will be chief executive in charge of the construction of Phase 1 between London and the West Midlands.
He will be earning more than six times as much as present CEO Alison Munro, who is staying with the company and will concentrate on developing the details of Phase 2, which will take High Speed trains onwards to Manchester and Leeds via two spurs from Lichfield, just north of Birmingham.
Incoming executive chairman David Higgins will be paid £591,000.
Mr McLoughlin told the BBC: "We need to attract the best people we possibly can, so we are going for the best engineers in the world to engineer this project. It is a large salary but I am rather pleased that engineers, rather than bankers, can be seen to get big rewards for delivering what will be very important pieces of national infrastructure."
Meanwhile, Labour shadow chancellor Ed Balls may have signalled a weakening of support for the scheme from his party again, after he sounded new warnings about containing costs.
David Higgins' first main task is a thorough review of the project, with a view to reducing its likely cost and also accelerating the construction timetable. He will also examine whether construction can begin in the north much sooner.
His conclusions are due to be sent to the transport secretary next month.
Reader Comments:
Views expressed in submitted comments are that of the author, and not necessarily shared by Railnews.
Tim, Devon
The rich get richer, usually at the tax payer's expense
They say it's the market rate, but there are no private sector projects worth £43 billion.
Chris Neville-Smith, Durham, England
It's a lot, but on a pro-rata basis it can't work out as any more than what Chris Stokes was paid by 51m. We don't know how much time Stokes actually put in for 51m, but in order for his £103,562.50 to work out cheaper he would need to do more than 1.6 months' of work planning the alternative.
Even when including the time Stokes spent in court defending 51m's scheme, there's no way that shoddy scheme took 1.6 months of work.