Edinburgh trams project
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Ministers withhold Edinburgh trams funding

The Scottish government has confirmed it will withhold about £72m of funding if the Edinburgh trams project stops at Haymarket.

Last week councillors rejected plans to borrow an extra £230m to run the line into St Andrew Square.

Transport Scotland has sent a letter to the council's chief executive saying it will not now pay the final instalment of a £500m government grant.

Steven Godden reports