Extending the London Undergrounds Northern Line to the Nine Elms regeneration area could deliver a multi-billion pound growth injection to the UK economy, an independent study is expected to show, and the Chancellor George Osbourne recently indicated the government’s support for the project in the autumn statement but he did not commit to any government funding.

Preliminary findings from the Volterra Partners report indicate that a two station tube extension could maximise development in Vauxhall Nine Elms, adding an extra 17,000 jobs and 7,500 homes to the area-wide regeneration programme.

The Northern Line Extension (NLE) would improve transport capacity throughout the Vauxhall Nine Elms area with new stations at Wandsworth Road and Battersea Power Station.

Battersea Power Station would then become the focus for a new town centre with 66,000 square metres of retail, restaurant and cafe space being planned – more than Clapham Junction and Wandsworth town centres.

According to Wandsworth Council, the construction of the new underground extension would be funded largely through a levy on private development sites in the Vauxhall Nine Elms Opportunity Area.

Two years of detailed planning and design work are already complete and the scheme received widespread backing during its first and second round public consultation.

A formal planning application – called a Transport and Works Act Order – could be submitted in 2012 and the Tube link open for business by 2018.

According to Dash 24, the Leader of Wandsworth Council, Ravi Govindia, said: “Volterra’s work has sought to quantify the enormous benefits this scheme has to offer the UK economy and the vital role it can play in delivering growth.

"Its not just about regenerating the power station site, the NLE will drive growth throughout the whole Vauxhall Nine Elms area which is set to deliver a total of 16,000 homes and 25,000 jobs.

“No other scheme in the capital could match this potential and no other project is so far advanced.”

The Volterra study has been commissioned by Transport for London and Wandsworth and Lambeth Councils.

The finalised report will be published on the council’s website at www.wandsworth.gov.uk/nineelms

The Vauxhall Nine Elms Opportunity Area includes 450 acres of land between Battersea Park and Lambeth Bridge on the South Bank of the Thames.

The Mayor’s London Plan anticipates a total of 16,000 new homes and 25,000 new jobs will be created here if the transport capacity can be increased.

Work is already underway on major developments in the area including St Georges Vauxhall Tower scheme and St James Groups Riverlight development (formerly known as Tideway Wharf).

Outline planning permission has been granted for the new American Embassy and Treasury Holdings Battersea Power Station scheme.

New planning applications have now been being submitted for:

Marco Polo House – Marcus Cooper Group
Parkside – Royal Mail
Embassy Gardens - Ballymores
The Garden at New Covent Garden Market – CGMA
One Nine Elms – Green Property and CIT Group Ltd
Sainsburys Nine Elms – Sainsbury’s