To ask the Chancellor of the Exchequer, what assessment he has made of the impact of changes to the HS2 scheme on Barnett funding for Northern Ireland.
Answered on
18 October 2023
Funding for the HS2 programme has been provided to the Department for Transport’s (DfT). The Barnett formula has applied changes to the DfT’s budget to date due to funding for the HS2 programme, and the Northern Ireland Executive has received Barnett consequentials as a result.
At spending reviews, the Barnett formula is applied to changes in each UK Government department’s DEL budget with the Barnett consequentials that arise then added to the devolved administrations’ baseline block grants. As the Barnett formula is not applied to changes in funding for all the individual programmes within a UK Government department’s DEL budget, the Barnett consequentials associated with these individual programmes, such as HS2, cannot be identified.
The Barnett formula will continue to apply to future changes to the DfT budget from funding for the HS2 programme.