Infrastructure investment plan 2021-22 to 2025-26: major capital projects progress update – February 2025
The following information relates to projects with a capital value of £5 million or more which are at the outline business case (or equivalent) approved stage or beyond.
Sector: Transport
Project: A9 Dualling Tomatin to Moy
Business case approved stages: Third project phase of A9 Dualling programme involves approximately six miles (9.6km) of online widening of existing single carriageway to an all-purpose dual carriageway, extending from existing dual carriageways to the south of Tomatin and to the north of Moy. The original Outline Business Case (OBC) outlined that the project was estimated to cost £197 million and was planned to be operational in December 2025.
Parliament was advised on 8 February 2023 that the project was to be revised following a decision not to make an award under the initial procurement (as reported in March 2023 update). An updated OBC was approved in August 2023 which outlined that the project was estimated to cost £254 million and was planned to be operational in the second half of 2027. The Full Business Case (FBC) approved in July 2024 outlines that the project is estimated to cost £308 million (at outturn) equating to £296 million (at Q2 2024 prices) and that it is planned to be operational by the end of 2027.
Progress at August 2024: Following the conclusion of the procurement competition, the FBC was approved on 5 July 2024. The Preferred Bidder, Balfour Beatty Civil Engineering Ltd was announced on 9 July 2024 and the contract formally awarded on 30 July 2024.
The final tender price was £184.7 million, resulting in a total forecast project cost of £308 million (at Q2 2024 prices). This is an increase to that in OBC and what was previously reported and takes into account the contract award price, which is now known. The cost of the project will continue to be monitored and updated as construction works progress and risks materialise and/or diminish. The project is planned to be operational by the end of 2027.
Progress at February 2025: No change to cost since the last report. However, the total forecast project cost of £308 million in the previous report (Progress at August 2024) was incorrectly stated as being ‘at Q2 2024 prices’. This should have been ‘at outturn’ instead. The total forecast project cost remains £308 million (at outturn), which is equivalent to £296 million (at Q2 2024 prices).
The Convener of the Net Zero, Energy and Transport Committee was notified by letter on 7 October 2024 that the project is now expected to be operational by the end of spring 2028. This is later than previously reported and followed receipt and review of the Contractor’s initial works programme which required additional time for construction of the works than had been originally estimated. This was due to factors such as seasonal constraints on weather-sensitive work and environmental restrictions for working in watercourses. Preparatory works commenced on site on 21 October 2024 with the main construction works starting in spring 2025.
Contact for public enquiries: email: info@transport.gov.scot
Project: A9 Dualling Tay Crossing to Ballinluig
Business case approved stages: The fourth phase of the A9 Dualling programme, the 8.2km trunk road from Tay Crossing to Ballinluig is being upgraded to an all- purpose dual carriageway as part of a wider programme to dual the A9 between Perth and Inverness. The OBC outlines that the total project cost will be £222 million (at April 2023 prices) with the construction contract cost estimated at £155 million (at Q2 2025 price base) and that the project is planned to be operational by the end of 2028.
Progress at August 2024: The OBC was approved in May 2024 and the project is now in procurement. The OBC outlines that the total project cost will be £222 million (at April 2023 prices) with the construction contract cost estimated at £155 million (at Q2 2025 price base) and that the project is planned to be operational by the end of 2028.
Progress at February 2025: No change to OBC cost or timing since the last report.
The procurement process has continued with three contractors shortlisted in August 2024 to participate in dialogue. Contract award is expected in Summer 2025.
Contact for public enquiries: email: info@transport.gov.scot
Project: East Kilbride Rail Enhancement
Business case approved stages: Project is part of the East Kilbride and Barrhead Rail Enhancement scheme. The scheme will make rail services reliable, efficient, and attractive to passengers and support modal shift whilst progressing against the Scottish Government’s target to decarbonising the rail network. The OBC outlined that total project cost was estimated to be £100 million to £120 million and that it was estimated to be operational in December 2024. The FBC outlined that total project cost was estimated to be £139.8 million and that it was estimated to be operational in December 2025.
Progress at August 2024: No change to FBC cost or timing since the last report.
Progress at February 2025: No change to FBC timing since the last report.
The Anticipated Final Cost is now £143.7 million which is an increase to that at FBC and as previously reported. This is mainly a consequence of Transport Scotland requiring to contribute towards the delivery of Hairmyres Station Car Park.
Contact for public enquiries: email: info@transport.gov.scot
Project: Markle Level Crossing Bridge Replacement
Business case approved stages: Closure of Markle Level Crossing (in East Lothian) on the East Coast Main Line and its replacement with an overbridge. The OBC outlined that the total project cost was estimated to be £9.2 million and that the project was estimated to be operational by the end of March 2024.
Progress at August 2024: Construction was approved in February 2024 via an Agreement between East Lothian Council, Network Rail and Transport Scotland and commenced as planned thereafter in March 2024. The anticipated final cost is £12.5 million is an increase to that previously reported due to impact of inflation on the contract.
Whilst construction is proceeding well, uncharted buried services have been located directly within the bridge construction site. These are impacting the construction programme and the impact of this in terms of time, cost and redesign is currently being evaluated. The estimated operational date is now April 2025, which is later than previously reported due to the unforeseen conditions encountered on site.
Progress at February 2025: The level crossing closure is planned for early May 2025. The opening of the new diversionary road and road overbridge is forecast for late June 2025. This is later than previously reported due to the project being further delayed by the presence of uncharted buried services. The diversionary works associated with these however are now complete.
As a consequence of the unforeseen on-site issues, the Anticipated Final Cost is potentially subject to change, with the Contractor’s submissions subject to final accounting.
Contact for public enquiries: email: info@transport.gov.scot
Project: Borders Railway Decarbonisation
Business case approved stages: Project to facilitate the decarbonisation of rolling stock emissions on the Borders Railway through the installation of railway electrification infrastructure. This infrastructure will allow the replacement of the diesel rolling stock which currently operate on the route with new battery electric rolling stock. The OBC outlined that the total project cost was estimated to be £32 million and that the project was estimated to commence construction in 2023 and be operational in May 2027 (£14.4 million of total project cost is attributable to the Tweedbank Feeder Station).
Progress at August 2024: A refresh of the Rail Services Decarbonisation Action Plan continues (as first reported in March 2023 update) and the outcome of this will allow for the project to be re-planned. Timescales for project will be determined by the associated rolling stock procurement exercise and the needs of the wider rail projects pipeline.
Once the new Feeder Station at Tweedbank (£14.4 million) has entered service (September 2026), this will be used to provide power to the planned railway electrification at the south end of the Borders Line. Once the new Feeder Station at Portobello (£32.4 million) has entered service (December 2025), this will provide additional power and network resilience in the Edinburgh area and in addition it will support the planned decarbonised Borders Line rail services. Costs will be re-estimated as part of the replanning process.
Progress at February 2025: The development of this project is continuing and is subject to a Final Business Case being completed and funding availability. Timescales for delivery of the project will be determined by the wider pipeline programme and the rolling stock procurement exercise.
The new Feeder Station at Tweedbank is now planned to be available for use from March 2027 and the new Feeder Station at Portobello is now planned to enter service in March 2027, both of which will be in advance of electrification of the Borders Route.
Contact for public enquiries: email: info@transport.gov.scot
Project: Fife Decarbonisation
Business case approved stages: Project to facilitate the decarbonisation of rolling stock emissions on the Fife Railway through the installation of railway electrification infrastructure. This infrastructure will allow the replacement of the diesel rolling stock which currently operate on the route with new Battery Electric rolling stock. The OBC outlined that the total project cost was estimated to be £210 million (exclusive of Feeder Station costs) with the full project estimated be operational in December 2025.
Progress at August 2024: A refresh of the Rail Services Decarbonisation Action Plan continues (as first reported in March 2023 update) and the outcome of this will allow for the project to be re-planned. Timescales for project will be determined by the associated rolling stock procurement exercise and the needs of the wider rail projects pipeline.
Once the new Feeder Station at Thornton (£29.4 million) has entered service (September 2026), this will be used to provide power to the planned railway electrification in Fife. Costs will be re-estimated as part of the replanning process.
Progress at February 2025: The development of this project is continuing and is subject to a Final Business Case and funding availability. Timescales for delivery of the project will be determined by the wider pipeline programme and the rolling stock procurement exercise.
Previously approved preparatory work between Edinburgh and Dalmeny has commenced. This is the first step towards electrification of the Fife routes. The new Feeder Station at Thornton is now planned to be available for use from December 2026, in advance of electrification of the Fife circle.
Contact for public enquiries: email: info@transport.gov.scot
Project: CMAL – Two new 100 metre ferries
Business case approved stages: Procurement commenced and Pre-Qualification
Questionnaires were issued by CMAL (Caledonian Maritime Assets Ltd) on 15 October 2014 with tender returns on 31 March 2015 and the Preferred Bidder announced on 31 August 2015. The contract worth £97 million to build the two 100m ‘dual-fuel’ ferries for the Clyde and Hebrides Ferry Service (CHFS) was awarded to Ferguson Marine Engineering Limited (FMEL) on 16 October 2015. The first ferry was expected to be delivered in May 2018 with the second vessel following a few months later. Ferguson Marine (Port Glasgow) Limited (FMPG) purchased FMEL and its assets in December 2019 following liquidation. This included responsibility for the delivery of vessels 801 and 802.
Progress at August 2024: The Board of FMPG removed David Tydeman from the role of Chief Executive Officer on 26 March 2024 and appointed non-executive director John Petticrew as interim CEO.
On 31 May 2024, the interim CEO updated the Scottish Parliament’s NZET Committee that the expected cost to completion from the point of public ownership for both vessels was £299.1 million including contingency. This is an increase to that previously reported and is due mainly to rework, contractor cost and inflationary pressures.
On 2 August 2024, the interim CEO signalled that the handover date for vessel 801 (MV Glen Sannox) had been extended from 30 September 2024. This is later than previously reported and is due to issues with the outfit and commissioning of the liquefied natural gas (LNG) system with consequential impact on other areas of outfitting and commissioning. FMPG launched vessel 802 (MV Glen Rosa) on 9 April 2024 and yard is now working to an expected delivery date of 30 September 2025.
Progress at February 2025: On 19 November 2024, MV Glen Sannox received its final regulatory approval. On 20 November, she was officially handed over to CMAL. Passenger services commenced on 13 January 2025 between Troon to Brodick.
Glen Rosa was launched on 9 April 2024. The current target delivery date is September 2025. However, the delivery plan for MV Glen Rosa is being updated.
At the Scottish Parliament Public Audit Committee (PAC) evidence session on 5 February 2025, FMPG’s Interim Chief Executive acknowledged that Glen Rosa's delivery by September 2025 was at risk. However, FMPG is actively exploring alternative scenarios to assess potential delivery dates and cost implications.
Contact for public enquiries: email: Scott.Chalmers@gov.scot