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BAM Nuttall increases claim by £10m – Maximum project cost £229.6m

September 5, 2012 1:29 PM

The battle over who will pay the massive overspend for the guided busway is still escalating as contractor BAM Nuttall has increased its final claim against Cambridgeshire County Council by £10 million.

Figures obtained by the Liberal Democrat opposition show that the value of the final claim from the contractor has increased from £151.5 million to £161.4 million. This is the amount the contractor claims it is owed by the council, a sum the council disputes.

The new figures (attached) which were prepared by the council in response to a Lib Dem request, and have been approved for public use show that the overall cost of the project could reach £229.6 million. This means in the worst case scenario of losing the court case outright, Cambridgeshire taxpayers could be left with a bill of £102.3 million.

Leader of the Lib Dem opposition, Kilian Bourke said: "The Conservatives promised not to spend one penny of taxpayers' money on the busway, but now we learn that in the worst-case scenario the taxpayer would take a hit of over £100 million.

"That is a monumental sum for a local authority, and what is most worrying is that it just keeps getting bigger. The bottom line is that, if the council loses money in court, this will have to funded either by an increase in council tax or a cut to frontline services."