The City of Edinburgh Council is to decide next year on whether to carry out a £162 million tram extension project in the city.

A report, which sets out the case for completing line 1A from York Place to Newhaven, will be discussed by the Transport and Environment Committee on 04 September.

In addition, the report will seek approval in principle for the Outline Business Case (OBC) and council to enter into a procurement exercise to identify a potential contractor for the project.

Following wider council discussions on 21 September, a final decision on whether to proceed with the development will be made in autumn 2018.

If approved, the construction will take approximately three years and, allowing for testing, passengers could expect to use the service in the first half of 2022.

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Council Leader Adam McVey said the planned extension route "would bring a range of local benefits" such as boosting economic growth, creating jobs, enhancing accessibility, reducing congestion and improving air quality.

"We're now working to make sure that the business case is as robust as possible to ensure we have confidence that the project can be delivered on time and on budget," he said.

Transport Convener, Cllr Lesley Macinnes, added: "Only yesterday, we were named the UK's best city for transport links, demonstrating the success of our continued work to deliver a truly integrated public transport system for the Capital.

"We cannot be complacent, though. We must ensure we keep investing in public transport and sustainable travel, both to cater to ever greater numbers of residents and visitors and to improve our environment.

"The Outline Business Case demonstrates good early performance for the tram, with patronage expected to double in the first year. Crucially, however, it also shows Lothian Buses continuing to operate at the high standard of service we've come to depend on. 

"We have the opportunity now to study the numbers in more depth before deciding on whether to progress, taking into account the needs of the city's tax payers, and ensuring we learn lessons from the past."

(LM/MH)