HS2 has expressed regret over the treatment of a prominent whistleblower who was ousted from the project after voicing concerns about artificially low cost estimates being maintained by staff.
Stephen Cresswell, an ex-senior HS2 cost analyst, is set to receive a significant compensation payout after HS2 acknowledged partial responsibility in an unfair dismissal claim at the Employment Tribunal, as reported by .
While the precise amount of the settlement remains undisclosed, it will ultimately be funded by the taxpayer, marking a landmark victory for a whistleblower in a case against HS2.
HS2 Ltd conceded that it was "regrettable" that Cresswell did not receive the "appropriate level of protection" as a whistleblower following the termination of his contract in 2022.
However, the company clarified that this admission does not imply acceptance of "the specific allegations around cost estimating practises raised by Cresswell" HS2 insists that no criminal conduct related to Cresswell's claims occurred.
A spokesperson informed City AM that the firm is now "under new leadership and a comprehensive review of its skills and structures is being carried out."
In recent times, HS2 has been the subject of several severe accusations from whistleblowers, with costs potentially escalating to £100bn. These allegations span from outright fraud to claims that staff members who internally flagged issues were dismissed without any justification.
In a 2023 Sunday Times interview, Cresswell accused the organisation of employing a "classic playbook" on major taxpayer-funded construction projects, which involves withholding true cost estimates to keep government funding flowing.
Cresswell claimed he was pressured by top officials to understate the expenses for the now-cancelled Birmingham to Leeds section of the project.
He expressed relief at the conclusion of the employment tribunal process and his distrust in HS2's handling of public funds: "I'm pleased that the employment tribunal process has concluded. In my opinion HS2 is not an organisation that should be trusted with public money," Cresswell stated.
Cresswell criticised HS2's financial impact: "HS2 is destroying taxpayer value, a properly functioning administration would mothball the programme and undertake a full independent investigation."
Mark Wild, the new CEO of HS2, has pledged a comprehensive overhaul of the project, currently conducting a thorough review of its costs and timeline.
Recent developments have seen HS2 Ltd suspend a subcontractor on the West Midlands stretch due to allegations of significant tax fraud.
A Department for Transport (DfT) spokesperson responded to the whistleblower's claims, acknowledging the need for proper protection for individuals like Cresswell: "We take all whistleblowing allegations seriously and it is important that individuals are given appropriate levels of protection, which clearly was not the case for Mr Cresswell."
The spokesperson also acknowledged the challenges ahead for HS2: "There is a lot of hard work still to do to get this project back on track, which is why we are overseeing a total reset of HS2, and reviewing the programme's costs, schedule and culture."
