The Government is poised to approve the extension of HS2 into Euston station, despite concerns it could saddle the taxpayer with billions of pounds in extra costs.
The move will ensure that the high-speed rail route runs into the centre of London rather than ending at Old Oak Common in the west of the capital.
Chancellor Rachel Reeves will reportedly use her first Budget next month to approve funding for the project, which will also include a multi-billion-pound transformation of Euston.
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As part of any Euston expansion, the Government must also decide whether to retain Mr Sunak’s slimmed-down plans for a six-platform HS2 terminus or reinstate the original blueprint for an 11-platform layout, with a new Tube station.
Labour has been under pressure to make a swift decision on the Euston leg after two 1,700-tonne boring machines were delivered from Germany last month. The company responsible for overseeing HS2 has warned that the machines cannot be left underground indefinitely and that drilling must begin early next year.