The UK’s landmark £400m rail testing facility is due to be delayed by five years due to funding issues.
The Global Centre of Rail Excellence (GCRE) is being constructed at a former opencast mine site in South Wales and is set to be Europe’s first integrated train and rail infrastructure testing facility.
The project, to be built on a 700-hectare site in the Dulais Valley, was first proposed by the Welsh Government seven years ago and had been due for completion this year.
However, GCRE told Construction News it will now be delayed until 2030 as its search for private investment is taking longer than originally planned.
A spokesperson for the centre said: “The last few years have been challenging times for many major infrastructure projects across the UK.
“A global pandemic and unprecedented macroeconomic factors significantly impacted the cost of borrowing, including high inflation and above trend interest rates. This impacted GCRE as it did others, but the project remains positive about the outlook ahead.”
It said it continues to be “in dialogue” with potential investors.
Outline planning consent for the project was granted by Neath Port Talbot Council and Powys County Council in 2021.
Contractors already appointed include earthworks specialist Walters Group, which will work with Atkins to prepare the site for construction.
Arcadis is developing the rail systems design and Mott MacDonald is focusing on the site’s net zero energy strategy.
The project includes two electrified 7-kilometre looped testing tracks for rolling stock and infrastructure, train storage and maintenance and training facilities.
GCRE, which is owned by the Welsh Government, has already secured funding of £50m from the Cardiff Bay administration and £20m from the UK government.
Once the private investment is secured, the first phase of the project, which includes developing the testing tracks and a depot area, will be completed “within three years”, the spokesperson added.
GCRE said that the project is a “shovel-ready scheme”, saying that earthworks planning permissions are in place, and construction can begin as soon as private investment is secured.
“We have [already] developed 440m of track on site which has been used to host a £7.4m Innovation in Railway Construction Competition in partnership with Innovate UK and it is currently hosting a new training programme being run at the site to support the re-training of 72 workers from the Tata Steelworks and its supply chain to find work in the rail industry”, the spokesperson said.
GCRE is also developing STEM programs and upskilling opportunities for local communities to address a skills deficit for the site.
Last month, Powys County Council was told GCRE is expected to submit further planning applications next year.
