A final announcement on funding for phase 2 of the East London Line (ELL) is expected tomorrow.
In the Mayor of London's 'Way To Go' document, published last year, the Mayor of London Boris Johnson said he intended to go ahead with: "Funding and building East London Line Phase 2b to Clapham Junction."
"Now is the time to continue to develop that Overground potential, so we are increasing the frequency of all the Overground services, and creating links with the East London Line so as to make a kind of orbital rail equivalent of the M25."
The existing phase of the East London Line extension is currently underway - linking Dalston (by 2010) and Highbury and Islington (by 2011) with New Cross, Crystal Palace and West Croydon.
Phase 2 would connect London Overground services from Surrey Quays to Clapham Junction, with work to start following the 2012 Olympic Games.
This would complete a cuircut of Central London around zones 2 and 3, increasing connectivity throughout the capital.
The new extension would create a new line to link the following stations:
Clapham High Street
Queen's Road Peckham
Surrey Canal Road