Chancellor’s decision comes amid calls from new Tory MPs for project to be scrapped

Sajid Javid is expected to throw his weight behind the controversial HS2 rail project at a key meeting on Thursday, after the Treasury concluded it will still deliver economic benefits despite spiralling costs.

The chancellor is poised to tell Boris Johnson and Grant Shapps, the transport secretary, that he believes the sums still add up despite the price tag having risen to an estimated £88bn.

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