Hong Kong cuts Northern Link rail cost 28% to HK$86.2 billion and targets a 2034 opening

Part 2 covers tunnels, stations, a depot and electrical and mechanical systems, now estimated at HK$54.8 billion, The Standard reported. Together with Part 1, approved in July 2025, the bill comes to HK$86.2 billion. The new agreement also makes MTR responsible for running and maintaining the whole line. Part 2 spending is spread over about 10 years, with HK$1.1 billion budgeted for 2027, then HK$2.9 billion for 2028 and HK$5.9 billion for 2029.

Transport Secretary Mable Chan said the government and MTR spent the past year cutting cost and time. The Highways Department issued the Hong Kong Railway Standards in February to open the door to newer technology, materials and systems. A dedicated Railway Checking Unit now reviews construction plans, which officials expect to shorten processing by 30% to 50%. Merging the main line and spur into one project brought the spur's opening forward by two years, and the Northern Metropolis Development Bill proposes simpler construction noise permits.

The money comes through the rail-plus-property model. MTR gets eight development sites covering about 46 hectares in Ngau Tam Mei, San Tin, Kwu Tung North and Au Tau, and the government deducts a fixed sum from their land premiums, Dimsum Daily reported. The main line runs 10.7 kilometers underground with five stations from Kam Sheung Road to Kwu Tung, and the peak-hour ride from end to end should drop from about 60 minutes to 12. The spur, about 6 kilometers long, branches at San Tin and runs 1.1 kilometers into Shenzhen to end at Huanggang Port.