An extension to the M74 which will significantly reduce congestion on the busiest stretch of the M8 through Glasgow and provide a major economic boost to the west of Scotland has been given the go-ahead.

The tender price bid by the Interlink M74 is a fixed price of just under £445m plus an allowance for approximately £12m for possible treatment of mine workings along the route. The scheme is predicted to return significantly more than its cost in terms of wider benefits.

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Scottish Transport Minister, Stewart Stevenson, said: "This Government has always been committed to the M74 project.

"Following an internal review of the procurement processes, the Government is confident that the procedures are robust and we are happy for Glasgow City Council to award the contract to the Interlink M74 Joint Venture."

Councillor Steven Purcell, Leader of Glasgow City Council, also commented: "Glasgow has argued for decades that this development is vital to the future growth of the city.

"This is tremendous news for jobs, for commuters and for the 2014 Commonwealth Games."

The bid achieves clear value for money against the independent cost comparator produced by consultants. EC Harris on Transport Scotland’s behalf against current construction market cost.

It is now anticipated construction of the Transport Scotland-managed project will get underway in May and should be complete by the end of 2011.

(JM)