Department of Transport

Steven Norris announces further progress for Croydon Tramlink
_______________________________________________________________

date 25 April 1996
source Department of Transport
type Press release

note 133

Steven Norris, Minister for Transport in London, today announced
another step forward for Croydon Tramlink. Answering a Parliamentary
Question from David Congdon, MP for Croydon North East, he said:

I am glad to say that, following analysis of bids from four
consortia, London Transport have identified Tramtrack Croydon Ltd as
the preferred bidder for the concession to build and operate Croydon
Tramlink. London Transport will therefore be taking forward
discussions with Tramtrack Croydon Ltd with the aim of completing the
concession agreement with them. My Right Hon friend the Secretary of
State will need to be satisfied with the final proposals before
making grant available. But I welcome this further significant step
forward for this Private Finance Initiative scheme.

This important public transport scheme should be seen alongside
other projects. I know that many Croydon residents are keen that the
Coulsdon Inner Relief Road on the A23 should go ahead; so I am glad
to be able to confirm that, despite that substantial reductions in
road spending announced in the last Budget, that particular scheme
remains in the trunk road programme.

Speaking afterwards, Mr Norris said:

We have set grant aside for Croydon Tramlink, but the award of a
concession has always been subject to satisfactory private sector
bids for grant. We are not there yet, but this is another step along
the road; I am hopeful that it will be possible for a concession
agreement to be finalised in the near future, making another success
for the Private Finance Initiative.

Notes for Editors

1.Croydon Tramlink is a 28 km light rail network which will link
Croydon with Wimbledon, Beckenham and New Addington. It has been
jointly promoted by London Transport and the London Borough of
Croydon, and is being taken forward under the Private Finance
Initiative.

2.In December 1994 the Secretary of State announced that he would be
setting aside funds to provide a public sector grant for the scheme.
The size of the grant would be determined by the bids received, and
the award of the concession would be dependent on their being at a
satisfactory level.

3.Mr Norris launched the competition to select the concessionaire in
May 1995. Following the end of pre-qualification in September 1995,
London Transport announced the short-list of four consortia invited
to bid formally for the concession. Todays announcement is about the
preferred bidder from that short-list. The Tramtrack Croydon Ltd
consortium comprises Centre West, Royal Bank of Scotland, McAlpines,
Amey Construction, Bombardier Eurorail and 3i.

4.It is hoped that the concession agreement could be signed in the
summer.

5.The Coulsdon Inner Relief Road is a scheme for a 1.7 km bypass for
the town centre of Coulsdon, south of Croydon, on the main A23/M23
route between London and Brighton.

Railhub Archive ::: 1996-04-25 DoT-004