Crossrail busts budget by £590m

Grant Prior 2 years ago
Share

An extra £590m is being invested in Crossrail to make sure the project opens on time.

The extra cash on top of the previous budget of £14.8bn was confirmed in an annual update to parliament today.

Crossrail is getting £300m directly and a further £290m is also being handed to Network Rail to complete its upgrades to the existing network.

A spokesperson for Crossrail said: “The construction of the Elizabeth line is one of the most complex and challenging infrastructure projects ever undertaken in the UK.

“Construction is now in its final stages with a huge effort underway to complete and commission the new railway.

“A number of factors have meant that additional investment is needed by both Crossrail Limited and Network Rail during this final stage of the programme covering both the new build central section and upgrades to the existing railway.

“These cost increases are disappointing but additional funding is critical to the delivery of this vital project.

“£300m will be made available to Crossrail Limited for its remaining programme of works in the central section.

“Both Crossrail Limited and Network Rail remain focused on managing costs through to project completion.”

The Enquirer has reported repeatedly on the cost pressures facing the project at the M&E fit out stage.

Crossrail’s official line has always been that the scheme is “on time and on budget”.

One site source said: “Everyone on the ground knew it wouldn’t hit the budget.

“You always get cost over-runs at the M&E fit out stage on a job like this.”

Crossrail Chief Executive Andrew Wolstenholme stepped down as project leader five months ago.

Latest news

Construction starts climb-back after cliff-edge output fall

Monthly output still 39% or £5.2bn down on pre-Covid level
52 mins ago

B&K in ‘strong position’ after revenue tops £1bn

Bowmer & Kirkland boasts year-end net cash of £447m after profits hit £73m
1 hour ago

Contractors press Government for Sizewell C green light

£300m of early works could begin this year if Government seizes £18bn nuclear build opportunity
2 hours ago

Mace Dragados kicks-off £1.3bn HS2 Euston station build

£400m worth of subcontract packages to be let over two years
18 hours ago

Firms wanted to clear social housing repairs backlog

PfH seeks firms for £490m repairs and voids DPS deal
3 hours ago

Construction work accelerated on £170m of flood defence schemes

Work to start on 22 sites in the next two years
2 hours ago

Final London Super Sewer TBM arrives by barge

Final stretch in sight as TBM Selina prepared for deepest Thames Tideway drive
20 hours ago

Multiplex lands £140m Glasgow office job

Main construction work to start on 13-storey scheme
21 hours ago

DfE readies firms for ‘new deal’ schools building push

Over 30 firms in fight for places as existing £8bn framework comes up for renewal
1 day ago

Student rooms developer gears up to build again

Unite buys Edinburgh site for 300-bed scheme after Covid-work pause
1 day ago

Farringdon office scheme to restart after £140m funding deal

Confidence boost for London market as main contractor due to be appointed shortly
1 day ago

HS2 team unearths Iron Age murder victim

Large wood-henge structure uncovered during Buckinghamshire tunnel site excavations
1 day ago

Hotel and office block plan for Manchester Mayfield scheme

Work to start early next summer on 385,000 sq ft project
1 day ago

South London’s Purley tower approved

Developer Thornsett Group get thumbs up for 17-storey tower mixed-use scheme
1 day ago

Collapsed crane was erected day before tragedy

Wolffkran worker still seriously injured in hospital after 85-year-old woman killed
5 days ago

London council calls up firms for £6.8bn works deal

Tower Hamlets 10-year dynamic purchasing deal will cover new housing, schools and regeneration schemes
4 days ago

Arup to cut 350 UK jobs

Job cuts among 6,000 strong UK workforce to hit next month
5 days ago

Green light for £230m Sky Studios Elstree

BAM, Lendlease and VolkerFitzpatrick understood to be in running for main contract
5 days ago

M&E contractor Ilec goes into administration

Specialist goes down after sharp drop in turnover
4 days ago

Morgan Sindall starts up Salford resi tower project

Work on 23-storey apartment block reignites New Bailey scheme
4 days ago

Amey appoints former Murphy boss as transport chief

Peter Anderson to head-up Transport Infrastructure business
5 days ago

Woman killed in London crane collapse

Four others injured as jib crashes through roof of houses next to modular building site
6 days ago

Bellway asks subcontractors for 5% rate cut

House builder wants suppliers to drop prices from next month
5 days ago

Esh Group unveils 8% staff cut

Nearly 70 jobs to be cut from 840-strong workforce
5 days ago

Bouygues wins £250m London hospital expansion

Evelina London children’s hospital embarks on next phase of development plans
6 days ago

House builders returning to full productivity on site

Vistry reports falling supply chain prices while Persimmon says forward sales up 15%
5 days ago

Firms to get £1,000 for every worker brought off furlough

Plan for jobs promises £6,500 for work placement kickstarters and £2,000 for apprentices
6 days ago

£3bn green boost as construction leads Covid recovery

Investment for energy efficient retrofitting and stamp duty holiday to boost housing market
6 days ago

Law firm caps fees for smaller construction disputes

Fixed-fee adjudication service will not see legal bills for contractors rise above £5,000
6 days ago

Top contractors orders down 44% over three months

Wates tops June contracts league with major high-rise flats order
6 days ago

Contractor services