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The cost of building Britain's High Speed ​​2 railway has been estimated at £66bn, an increase of £9bn on previous calculations, in a paper produced this year by the management of the troubled project.

The Department for Transport report on Tuesday will refer to an HS2 board paper from June which put the cost of the project at between £54bn and £66bn in 2019 prices, according to people familiar with the document.

This represents a major increase from November last year, when the government revealed HS2's official estimate of the cost of the rail line between London and Birmingham. Between £49bn and £57bn In 2019 prices.

If inflation is taken into account, the latest estimate of up to £66bn would be closer to £80bn in today's prices.

Last year's official estimate of between £49bn and £57bn came despite the then Conservative government axing the northern leg of HS2 from Birmingham to Manchester, in a desperate bid to save money.

According to officials, the government will dispute the estimate of up to £66 billion, saying it has not been supported by the Department for Transport.

An official said the figure was not a formal HS2 calculation, but an informal estimate based on raw data. But the latest estimates show how the cost of Britain's flagship transport project appears to be spiraling out of control.

Mark Wilde, HS2's new chief executive, a review of the price tag of the scheme.

He expects to take at least four or five months to complete the work. "I wouldn't be surprised if Mark comes up with a figure north of £80bn when he comes to grips with rising costs and inflation and everything else," said one industry figure.

In October then-Transport Secretary Louise Hague announced that Wylde would "assess the current situation on cost, schedule and culture, and to deliver as cost-effectively as possible, including a realistic budget and schedule". will provide an action plan”.

Wilde will also seek to renegotiate some contracts which officials have suggested have left HS2 "over a barrel".

His review coincides with the publication of the Treasury's three-yearly spending review in June, at which point HS2 is likely to be re-costed to take account of inflation.

HS2 has suffered delays and cost overruns since it was approved by ministers more than a decade ago, with management blaming issues including cost-plus contracts, increased tunneling and complications with ground conditions.

The price tag for the line between London and northern England was set at £33bn when it was approved in 2012.

The DFT and HS2 were contacted for comment.