Tayside and Central Scotland

Budget 2016: V&A Dundee is awarded £5m

V&A render Image copyright V&A Dundee
Image caption The V&A Dundee is due to open in 2018

The UK government will make a £5m contribution to the Dundee V&A, the chancellor has announced in the Budget.

The museum, which is currently being built on the city's waterfront, is due to open in 2018.

The cost of the building, designed by Japanese architect Kengo Kuma, has nearly doubled from £45m to £80m.

A review into the spiralling costs was carried out last year by a procurement expert who criticised the way the price of the project was initially estimated.

The museum will be the centrepiece of a £1bn redevelopment of Dundee's waterfront. Planning for the building was approved in 2013.

About 240 hectares of land is being developed along an 8km stretch of the River Tay during the 30-year project.

Dundee V&A: Major funders
Scottish government £25m
Heritage Lottery Fund £12.5m
UK government £5m
Creative Scotland £4.5m
Dundee City Council £6.5m
Growth Accelerator Funding £12.61m
Waterfront Dundee £4m
Fundraising campaign £10m

The work also includes a new road layout and access to the Tay Road Bridge along the waterfront.

A report into the near doubling of costs for the V&A building was published in August 2015.

Procurement expert John McClelland concluded that the way the original project cost was estimated was not "robust" enough to address the challenges associated with the architect's award-winning design.

Mr McLelland recommended that an urgent review into the budget for furniture, fittings and equipment be carried out.

He also said that Dundee City Council should appoint a full time in-house project manager for the V&A building along with a full-time cost manager.

Philip Long, director of V&A Dundee, said he was "delighted" at the announcement by Chancellor George Osborne.

"V&A Dundee is a transformative project for Dundee, Scotland and the UK.

"As the first V&A museum anywhere in the world outside London, we will showcase Scotland's globally important history of design and innovation - and inspire the designers and entrepreneurs of the future."

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