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The HS2 rail line project, connecting London and Birmingham, is currently dealing with allegations of possible fraud surrounding the handling of pay for construction workers by one of its subcontractors. Whistleblowers brought attention to concerns regarding the payment practices for some staff working on the high-speed line, prompting an investigation by HS2 Ltd last month. In addition to its own inquiry, the company has now taken the step of reporting the subcontractor to HMRC.
Transport Secretary Heidi Alexander is anticipated to address the issue in Parliament this week, adding to the string of challenges faced by the troubled rail infrastructure project. Initially proposed in 2009 to enhance rail capacity between the north and south of England, HS2 has encountered numerous hurdles and mounting costs. The Conservative government later decided to abandon the second phase of the project, which would have extended the line to Manchester and Leeds.
Earlier this year, whistleblowers raised alarms over the payment practices for subcontracted workers, alleging that self-employed individuals were incorrectly classified as salaried employees with falsified payslips showing inflated pay rates. These concerns were first reported by the i newspaper in May. One of the labour suppliers involved has been suspended from entering into new contracts while investigations are ongoing. In response to the situation, an HS2 spokesperson reiterated the company’s commitment to taking all whistleblower claims seriously and conducting thorough investigations. The Department for Transport has also affirmed its stance of zero-tolerance towards fraud, bribery, and corruption, vowing to investigate any allegations of misconduct diligently
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