The cost of building the new V&A museum in Dundee has ballooned from £49m to more than £80m.

 

Its opening date has also been changed, to 2018.

The dramatic Kengo Kuma designed building is a key part of Dundee's £1bn Waterfront regeneration project.

Work on building the project could start in March this year, with the main building completed by the end of 2017 and opened to the public before June 2018.

The city's council is now in discussions with the Scottish Government regarding a request for funding totalling £22.61m.

A council report reads: "The previously approved budget for the construction of the V&A building is £49m; the fixed

price tender received is therefore £31.11m above the approved budget."

BAM Construction Ltd have estimated the contruction costs of the building itself at £ 76.16m.

So far, the project has only secured £39.90m for the building.

Councillor Ken Guild, Dundee City Council leader of the administration and convener of policy and resources, said he had confidence in the project: "This is a crucial development in the aspirational project to provide Dundee and Scotland with a world-class museum which will help to provide jobs and wider economic benefits.

"Building the V&A Museum of Design Dundee will help attract further investment into Dundee and we expect to see new hotels, retail housing, office and commercial developments coming to the city.

"We are already experiencing unprecedented levels of investor interest in Dundee and the city's ongoing and ambitious regeneration will reach another level when the construction phase begins.

"The council and its partners believe that the time is right to press ahead and deliver for Dundee.

"We have seen the results of similar projects across Scotland and the world and I want to see those benefits come to our city."

The council says that the project will bring an estimated £11.6m economic boost to the city.

Further private fundraising is anticipated to secure an additional £6.6m while a further £4.5m is being sought from the Heritage Lottery Fund.

The council say a further £6.5m can be accommodated within the city council's capital programme for 2015-18 without impacting on council services.

Phil Long, director of V&A Museum of Design Dundee, said: "Dundee City Council's leadership in driving forward the development of V&A Dundee is very welcome indeed, as is the continuing support of Scottish Government and other partners to bring this world-class institution into being."

A Scottish Government spokesman said: "The V&A Dundee will be an iconic statement at the heart of the Dundee Waterfront development. The signature building will create local jobs and contribute significantly to the regeneration of the city and its waterfront, giving the city and Scotland a world-class design museum and visitor attraction.  The Scottish Government is firmly committed to supporting this important project.

"We have underlined our commitment through the £15m we have already allocated in capital funding towards the construction costs and the £3.2 million revenue grant we have provided since 2010 to support work including early exhibitions and outreach activities.

"The Scottish Government is currently involved in discussions with the project board about how the identified funding shortfall can be addressed. All partners remain committed to working together to ensure the delivery, success and long-term sustainability of the project."