Plans to go ahead with the first stage of extending the Edinburgh tram line are to be discussed by the local council, it has been announced.

The proposals focus on extending the line from the Scottish capital, to Newhaven.

If recommendations are agreed, it is understood a nine-month period of project development would then begin. This would involve procurement processes for external support and site investigation. Once this stage is complete, a report will be sent to Edinburgh Council, recommending how to move forward. If councillors then agree to continue with the extension a second stage – which is scheduled to take 21 months and cost around £8.3m – it would include further site investigation, as well as working alongside the Council's advisors in carrying out procurement and enabling works.

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Funding required for the project is yet to be identified, but the business case is thought to conclude that the borrowing costs can be funded from wider Public Transport revenues, and without impacting on Council revenue budgets.

Councillor Andrew Burns, Council Leader, Edinburgh Council, said: "The updated Outline Business Case provides further justification for bringing the tram to Leith, clearly demonstrating the social and economic impact the extension could have on this key area of the city.

"This first stage of project development for the extension will allow us to take another step towards achieving this. A significant period of work will ensure robust governance, allowing financial evaluation and risk analysis to be carried out.

"By obtaining funding for these initial stages from the city's Public Transport revenues, we are satisfied there will be no impact on Council budgets in the short or long term."

Edinburgh Council will hear the report on Thursday, 19 November, which will detail the findings of the Outline Business Case for the extension to Leith. It is recommended that Councillors approve, in principle, extending the tram to Newhaven over alternative options to end the line at Ocean Terminal, the foot of Leith Walk or MacDonald Road.

(JP)