Trams project rocked by second resignation

THE company behind Edinburgh's controversial tram project has suffered a second setback in less than a fortnight following another high-profile resignation.

Stewart McGarrity's departure as finance director at the council-owned Transport Initiatives Edinburgh (Tie) follows the announcement earlier this month that Graeme Bissett had quit as senior adviser to the tram project.

The resignations come as the row continues between the tram leaders and contractors over plans that could see the 11?-mile route only partially completed.

McGarrity joined Tie in 2001 and played a pivotal role in the development of the project and the business case that accompanied it.

His resignation follows the revelations that concerns about possible cost increases had been voiced by Tie officials to the government agency Transport Scotland even before the main construction contract had been signed in May 2008.

The company's chief executive, Richard Jeffrey, is understood to have given no indication that McGarrity was to be replaced.

Confirming his departure, a spokeswoman for TIE said: "Stewart has been extremely committed, professional and a source of good humour throughout all the challenges faced by Tie and the Tram project and it is with regret that we will be losing him.

"He leaves us with the very best wishes for the future."