Funding doubt over new Wembley Stadium

The future of the new Wembley stadium is in doubt today after the British government refused to bail out the troubled project…

The future of the new Wembley stadium is in doubt today after the British government refused to bail out the troubled project.

The Football Association has been unable to find funding for the proposed national stadium and Prime Minister Tony Blair warned that his government "cannot step in as a banker of last resort".

An outside supremo will now be appointed by Blair to try to drive the project.

There is a stg£150 million shortfall in the project funding, with costs for the stadium rising from an initial stg £334 million to stg £660 million at latest estimates.

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A spokesman for Blair said the FA had been in discussions with Downing Street over funding in recent days.

"We have made it clear that we remain committed to the proposals for a new national stadium and we will work with the various authorities to look at different options but that doesn't mean the Government can simply write blank cheques or act as a national bank for projects which encounter funding difficulties.

"The government cannot step in as a banker of last resort," the spokesman said.

The initial plans, drawn up at the request of the then WNSL chairman, Ken Bates, included a massive office, hotel and restaurant complex which was a far more expensive project but was designed to provide long-term profits.

It failed to gain funding from the City and so Mr Bates was overthrown and trouble-shooter Sir Rodney Walker was appointed to evaluate the options.

Reports have suggested that the project is costing the FA up to stg£2 million a month in architects' fees and running costs for the vacant Wembley stadium.