But funding is not yet in place, and ministers could not bedrawn out on how much the government was prepared to contribute.Privately, analysts believe this is part of a negotiating strategyon the part of ministers to see how much the construction andproperty industries as well as the city's financial houses would beprepared to stump up. The announcement did make clear, though, themost of the funding for the €15-billion ($18.6-billion) CrossRailproject will have to come from the private sector, possibly throughfares, development levies and property taxes.

"The case for a CrossRail link across London is clear and willget stronger as London continues to grow," says Transport secretaryAlastair Darling. "But the plans need to be robust and value formoney. The report makes clear CrossRail is needed, but itrepresents a huge challenge both to deliver and fund. We intend tointroduce a hybrid bill at the earliest opportunity to take thepowers necessary for CrossRail to be built. "At the same time,"Darling continues, "as the Montague report recognises, a majorfunding challenge remains. Government will need to work with themayor and the London business community to find a funding solutionwhere everyone pays their fair share. This will include consultingon appropriate alternative funding mechanisms."

Among the alternatives for financing the schemes is a land levypaid by developers and based on the increasing value of land nearthe route. That idea is gaining momentum in some circles, includingwithin London First, the lobby group for businesses in the capital,which has pointed to a fourfold increase in property values alongthe Jubilee Line Extension. It could raise an estimated €600billion ($742.2 billion) from developers who stand to gain the mostfrom an uplift in property values.