Chancellor George Osborne’s surprise backing for Birmingham’s city centre Midland Metro tram extension from Snow Hill to New Street Station will come as welcome relief to local transport bosses who feared that the £130 million project was doomed.
Earlier this month the passenger transport authority Centro raised the possibility that Government spending cuts could result in the prestige project being axed or delayed.
Members were told to consider sacrificing the Metro in order to pay for park and ride schemes and real time information screens at bus stops.
But Mr Osborne made it clear in the Comprehensive Spending Review that the city centre Metro extension would go ahead as planned.
The route from Snow Hill to New Street is the first part of an extension set to extend to Birmingham Airport and the National Exhibition Centre.