Step forward for £65m Station Quarter project

A £65m project to regenerate the area around a city station is getting closer to receiving much-needed government funds.

Peterborough City Council needs to confirm it will be responsible for additional costs in building an area known as the Station Quarter.

The Department for Transport (DfT) has agreed to pay nearly £48m towards the project – on the condition that the council is responsible for any "cost overruns".

A report being presented to councillors on 23 July said: "For local authorities in receipt of significant public funding, this is a standard request."

The government approved the Station Quarter project in May, which would build a new entrance to Peterborough railway station, pedestrianised square and multi-storey car park.

The £48m of DfT funding was signed off a few weeks later, with works set to begin in August.

At the time, the city's Labour MP, Andrew Pakes, said: "I'm really hopeful we will see the hoardings going up in August and work beginning to start."

As well as a refurbished station building, new paths would make it easier for pedestrians and cyclists to get to the city centre shops - and landmarks like the city's cathedral.

Peterborough City Council and Network Rail would be responsible for the building works, which are expected to cost £65m in total, with the rest being match-funded by other sources, such as Network Rail and the city council's Towns Fund.

The report said: "The council will be accountable for the agreed level of grant funding provided.. and as such will be responsible for any costs incurred over and above that figure."

It added that the project would have "significant social, economic, and environmental regeneration benefits" for the area around the station and wider city centre.

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