Crossrail cash jigsaw nearly complete

Business leaders will report to the Corporation of London on their progress in raising the City's contribution towards the vital rail link.

If the proposal is accepted by the Corporation then the official go-ahead could be granted almost immediately.

One person closely involved in the negotiations said today's meeting was the "final piece of the jigsaw".

"The only question remaining is if the Government chooses to announce it this week, next week or at the CSR [Comprehensive Spending Review]," he said. Gordon Brown stoked expectationsof an imminent announcement by revealing the Government had secured its side of the funding for the £16 billion project, which will run from Heathrow to Canary Wharf and beyond via the West End and City.

The Prime Minister said the only stumbling block was the need for business to come up with its "substantial contribution".

The Evening Standard revealed last week that talks had stalled over how much the City should pay. The row centred on the final £300 million to £400 million needed for the scheme, which could be up and running by 2017 if given the go-ahead.

Ministers claim that while Canary Wharf has privately pledged to contribute £500 million and BAA and BA are coming up with their own sums, the Square Mile had dragged its feet on a final figure.

Corporation members will learn at today's meeting whether a funding package from the City has been agreed or whether further negotiations are needed. If an agreement has been reached it will be put to a vote of Common Councillors and then presented to the Treasury for its approval.

Insiders said they were within a whisker of agreeing a deal.

"If we sort this out then the jigsaw puzzle is done and an announcement can be made," said the source.