Derry City & Strabane DC is to request more funding to back its £250m City Deal as inflation threatens to force planned projects to be scaled back.
Chief executive John Kelpie told a meeting this week that construction, labour, material and energy costs have all soared since the deal was struck.
He said: ‘The costs for most of the projects are projected to be considerably in excess of the costs that were envisaged at the strategic outline stage.
‘The overall cost of many of the projects significantly exceeds the budget available.
‘The majority of projects - if not all the projects as originally envisaged - will proceed in some shape or fashion, albeit they may now have to be developed on a scalable basis.’
SDLP councillor Rory Farrell said: ‘We need to see support from Belfast and London to deliver on these projects as they were originally envisaged.’
The capital projects in the City Deal are aimed at regenerating the region and boosting tourism.
This article was originally published by The MJ (£).
