The first phase of the Cardiff Crossrail project, with a£100m new tram link from the city centre to Bay, has been confirmed. The go-ahead comes after the has committed to providing the required match funding.
is working with Transport of Wales (TfW) to deliver the first element of the planned wider integrated public transport Cardiff Crossrail project.
Phase one will see a new tram route from Cardiff Central Station - with its own Crossrail station on its southside - running through Callaghan Square, before meeting the existing rail line that runs from Queen Street Station and alongside Bute Street down to the Bay.
The project had secured a phased £50m financial commitment from the previous Tory Ƶ Government from its Levelling Up Fund. The successful bid (reaffirmed by the Ƶ Government) was predicated on a £50m match funding commitment from the Welsh Government, which has now been confirmed.
Cardiff Council, following a tender process, has appointed Graham Group as the design and build contractor for the project.
Under a so called early contractor involvement (ECI) contract, the council and TfW will work Graham Group during the early stages of the contract to manage the cost of the design and how the project will be built.
Work on a second platform at station at the end of Bute Street is now under way as part of the South Wales Metro rail electrification project. The existing Bay line is also being electrified and upgraded to two tracks. To accommodate Crossrail services a dedicated third platform will be added.
To ensure that Crossrail tram-trains interconnect with walking and cycling routes, there will be new public realm in front of Callaghan Square, as well as a segregated cycleway connecting Cardiff Central with Callaghan Square. There will also be changes to the access arrangements for general traffic through Bute Terrace and Lower St Mary Street.
The project is expected be completed in early 2028 with tram-trains - utilising 36 that TfW has ordered for use on Metro services from the Valleys into Cardiff - operating towards the end of that year.
There is currently no funding secured to extend the network to Pierhead Street, although that is still a stated aim to enhance the redevelopment of Atlantic Wharf into a major mixed-use destination with a 15,000-seater indoor arena at its heart.

Eventually Crossrail could be expanded eastwards to reach the proposed new Cardiff Parkway mainline train station at St Mellons with its own integrated 900,000 sq ft business park. However, the Welsh Government is still to make a planning decision on the project more than two years after calling it in as scheme deemed a development of national significance.
A Cardiff Council spokesperson said:“It is great news that we have had the funding confirmed from both the Ƶ and Welsh Government. This means that the detailed work can now begin, with the detailed design set to be complete by autumn 2025 and work on the ground due to start at the end of next year.
“During the contract, the council and TfW will be working closely with the Graham Group to secure the best possible social value for the contract, by creating jobs, apprenticeships and training opportunities for local people. Under the current programme of works, the construction could be complete by early 2028, with trams running on the track from later that year.
“The Cardiff Crossrail is an ambitious plan to deliver Cardiff’s new tram transport system which will eventually run from the northwest of the city, all the way to the east of the city connecting with the proposed Parkway Station. “Following further funding opportunities, we intend to provide a cross-city tram service that is affordable and reliable for the public to use, and to connect some of Cardiff’s poorest communities to the rail network for the first time.
“To start this process, the first phase of the scheme must be built between Cardiff Central and Cardiff Bay. This will finally ensure that Butetown is properly connected to the city centre, via Cardiff Central, providing further capacity for residents and visitors to access the wide range of attractions that Cardiff has to offer.”