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Birmingham towers project shelved

Construction has been delayed on giant twin towers that were to be a Birmingham landmark due to the recession-triggered crash in the housing market.

The 30-storey buildings were part of the £600 million redevelopment project for the New Street Station and were due to come up at its southern entrance.

The towers, as well as a shopping centre, were to be built with private sector investment, while the revamp of the station received funding from central government.

But in view of the collapse in the market for apartments and office blocks, Network Rail has asked the city council’s planning department to put the towers project on hold.

The preparatory construction work on the rest of the New Street Gateway redevelopment will begin next month.

A Network Rail spokeswoman said: “We are still committed to building these towers, but it would be difficult during the economic downturn.

“We did not want to delay the whole Gateway project. Birmingham has waited long enough for this.

“Our planning application is a practical measure which allows us to split the development into two phases, the station and shopping centre first and tower blocks later.”

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