The Borders to Edinburgh rail scheme will continue as planned Scottish first minister Alex Slamond has confirmed.
The announcement comes as Carillion, one of the firms bidding for the project, pulled out.
Expected to open in 2014, the 35-mile line will link Edinburgh to Tweedbank in the Scottish Borders
“The Borders railway will go ahead,” Mr Salmond told the Scottish Parliament earlier.
Last year there were concerns after American firm Fluor had dropped out of one consortium.
Changes in the make up of bidding consortiums we “not uncommon” however, Mr Salmond said.