Linked to:   Agreement sealed for Dudley town centre trams
Date:   19-Dec-05
Author:   Mik Barton

How much will it cost?

The cost given for the Wednesbury to Brierley Hill Midland Metro extension is the figure for the 'current estimate' which is at Q3 2004 prices.

These figures are:

  • Wednesbury to Brierley Hill, £198.9m
  • Birmingham city centre, £82.8m
  • total £281.7m

The final out-turn costs, allowing for construction inflation over a further seven years, are:

  • Wednesbury to Brierley Hill, £256.2m
  • Birmingham city centre, £112.8m
  • total £369.0m

By comparing the forecast out-turn cost in 2011, with the figure that was current at the time of the public inquiry (in 2002), there is an overall increase of 74 per cent over a nine year period.  This results from annual increases of:

  • 5.08 per cent for Birmingham
  • 6.95 per cent for Wednesbury-Brierley Hill
  • 6.35 per cent overall.

While costs have increased, as is the norm with all major construction projects over many years, please bear the above figures in mind when reporting.  The figures given in the Birmingham Post, for example, that "costs have spiralled by 74 per cent in three years" are wrong.

 



Last updated : 19-Dec-05