Why city remains fully invested in its trams

COUNCIL LOOKING AT EXTENDING THE NETWORK AS DEBT FALLS

- By JOE LOCKER Local democracy reporter

NOTTINGHAM’S tram network continues to prove a “worthwhile” investment, the City Council's deputy leader has argued as debt continues to fall.

Keolis and its subsidiary Nottingham Trams Limited currently run the city’s network as part of the Tramlink consortium, under the Nottingham Express Transit (NET) name and branding.

Tramlink has been a private investment partner since 2011, when Nottingham City Council entered a Private Finance Initiative (PFI) with the consortium to build the second phase of the network - which became operational in 2015.

Under the PFI arrangement, the council has a range of financial commitments, including annual payments for the ongoing operation and maintenance of the service.

This arrangement now runs until March 2034, following a financial restructure last year to secure its future. At the end of the contract the network and its assets will transfer to the council - or another body of choice - at no cost and ready for its continued use.