Balls and Cable sound the alarm over HS2. Who will U-turn first?

It is no longer unthinkable that one or both of Labour and the Lib Dems could go into the next election pledging to scrap the project.

High Speed 2 is an increasingly rare example of an issue on which there is a consensus among the three main parties. But Peter Mandelson's recent rejection of the project as an "expensive mistake" and the 25% rise in its estimated cost to £42.6bn (even before a shovel has touched the ground) has created the space for a more nuanced debate about its costs and benefits. 

So it is striking that both Vince Cable and Ed Balls are now making sceptical noises. Cable told Today this morning:

Well, the case for High Speed 2, which is still being made – I mean, the figures, as you know, are being revisited – have to meet a standard of cost/benefit analysis which the Treasury seeks, and which meet the requirements of the Green Book, as it’s called, on public investment.

And Balls told the FT:

We need to keep a close eye on value for money. I am concerned about the rising costs. As a Leeds MP I can see the benefits for the region and the north of England, but it is not a blank cheque...we have to know the benefits justify the expenditure, so therefore value for money continues to be an important test for me.

It would be wrong to assume that Balls is preparing the ground for a Labour U-turn. Ed Miliband remains personally supportive of the project and HS2 evangelist Andrew Adonis, the party's shadow infrastructure minister, who Miliband has just appointed to lead a growth review, is also determined to prevent any backsliding. But it is no longer unthinkable that one or both of Labour and the Lib Dems could go into the next election pledging to scrap the scheme. In these straitened times, £42.6bn is not to be sniffed at. As one Labour MP recently put it to me, "just think how many houses we could build with that". 

A placard placed by the Stop HS2 Campaign sits in a hedegrow near to the planned location of the new high speed rail link in Knutsford. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Photo: André Spicer
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“It’s scary to do it again”: the five-year-old fined £150 for running a lemonade stand

Enforcement officers penalised a child selling home-made lemonade in the street. Her father tells the full story. 

It was a lively Saturday afternoon in east London’s Mile End. Groups of people streamed through residential streets on their way to a music festival in the local park; booming bass could be heard from the surrounding houses.

One five-year-old girl who lived in the area had an idea. She had been to her school’s summer fête recently and looked longingly at the stalls. She loved the idea of setting up her own stall, and today was a good day for it.

“She eventually came round to the idea of selling lemonade,” her father André Spicer tells me. So he and his daughter went to their local shop to buy some lemons. They mixed a few jugs of lemonade, the girl made a fetching A4 sign with some lemons drawn on it – 50p for a small cup, £1 for a large – and they carried a table from home to the end of their road. 

“People suddenly started coming up and buying stuff, pretty quickly, and they were very happy,” Spicer recalls. “People looked overjoyed at this cute little girl on the side of the road – community feel and all that sort of stuff.”

But the heart-warming scene was soon interrupted. After about half an hour of what Spicer describes as “brisk” trade – his daughter’s recipe secret was some mint and a little bit of cucumber, for a “bit of a British touch” – four enforcement officers came striding up to the stand.

Three were in uniform, and one was in plain clothes. One uniformed officer turned the camera on his vest on, and began reciting a legal script at the weeping five-year-old.

“You’re trading without a licence, pursuant to x, y, z act and blah dah dah dah, really going through a script,” Spicer tells me, saying they showed no compassion for his daughter. “This is my job, I’m doing it and that’s it, basically.”

The girl burst into tears the moment they arrived.

“Officials have some degree of intimidation. I’m a grown adult, so I wasn’t super intimidated, but I was a bit shocked,” says Spicer. “But my daughter was intimidated. She started crying straight away.”

As they continued to recite their legalese, her father picked her up to try to comfort her – but that didn’t stop the officers giving her stall a £150 fine and handing them a penalty notice. “TRADING WITHOUT LICENCE,” it screamed.


Picture: André Spicer

“She was crying and repeating, ‘I’ve done a bad thing’,” says Spicer. “As we walked home, I had to try and convince her that it wasn’t her, it wasn’t her fault. It wasn’t her who had done something bad.”

She cried all the way home, and it wasn’t until she watched her favourite film, Brave, that she calmed down. It was then that Spicer suggested next time they would “do it all correctly”, get a permit, and set up another stand.

“No, I don’t want to, it’s a bit scary to do it again,” she replied. Her father hopes that “she’ll be able to get over it”, and that her enterprising spirit will return.

The Council has since apologised and cancelled the fine, and called on its officials to “show common sense and to use their powers sensibly”.

But Spicer felt “there’s a bigger principle here”, and wrote a piece for the Telegraph arguing that children in modern Britain are too restricted.

He would “absolutely” encourage his daughter to set up another stall, and “I’d encourage other people to go and do it as well. It’s a great way to spend a bit of time with the kids in the holidays, and they might learn something.”

A fitting reminder of the great life lesson: when life gives you a fixed penalty notice, make lemonade.

Anoosh Chakelian is senior writer at the New Statesman.