Nottingham Tram signs

The second phase of Nottingham’s tram project has reached financial close, the local authority has confirmed.

The Nottingham Express Transit Phase Two contract was signed on Thursday by Nottingham City Council and the Vinci-led Tramlink Nottingham consortium.

Banks BBVA, Credit Agricole, Bank of Tokyo-Mitsubishi and RBS each took a quarter of the overall £303m debt, while the European Investment Bank also provided £110m.

Approval of PFI credits for the £570m project was also granted by the Department for Transport, meaning work can now begin on the ground.

Under the terms of the deal, Tramlink Nottingham will take over the first phase of the tram programme, which is already up and running, and extend the route to Clifton and Chilwell.

It is expected that construction work will begin in January, with services on the new lines scheduled to begin in late 2014.

For more information on the project, click here.