PLANS for the "Big Bang" extension of Greater Manchester's tram network were blocked today - after the government pulled the plug on cash to fund the three new lines.

Secretary of State for Transport Alastair Darling was outlining his transport spending plan for the next 10 to 15 years this afternoon - and transport bosses were hoping he would approve '520m funding for the Metrolink extension.

But insiders told the M.E.N. today that the plan for new lines to Oldham and Rochdale, Ashton and south Manchester had not been approved.

This means there is no prospect of any of the three lines being built in the foreseeable future.

Politicians in Greater Manchester reacted to the decision with fury today.

Transport chairman Coun Roger Jones said: "Alastair Darling has effectively killed off light rail in Britain if he won't approve Manchester, because ours is the best scheme. We were expecting Manchester to be approved, or at least half-approved, but instead it looks as though the '520 million is not coming our way.

"I think it is a step back of monumental proportions for Manchester and for public transport.

"I am outraged by the decision."

Blow

Emergency talks were taking place this afternoon between Coun Jones, Lord Peter Smith, leader of the Association of Greater Manchester Authorities, and Richard Leese, leader of Manchester city council. In a joint statement, they said: "This is a major blow to Greater Manchester and an appalling decision.

"It fails to recognise the inherent success of Metrolink to date and its contribution to a continued regeneration of the area.

"We will remain steadfast in our determination to bring an expanded Metrolink to the area."

They added: "We are asking for an urgent meeting with the secretary of state and we will work with Greater Manchester MPs to ensure that government joins up its decision making." The M.E.N. exclusively revealed how the costs of building the extension had risen to around '1 billion following a series of delays to the scheme.

And last week, transport minister Kim Howells told us that he did not think the scheme was "cost effective", signalling that the government was not willing to commit to the scheme.

The decision to block Metrolink extension plans angered Blackley MP Graham Stringer, who predicted a "gloves-off fight" with the government.

It is understood that Mr Darling has decided that the cost of the "big bang" is too high and that, on the figures presented, the scheme cannot go ahead.

Mr Stringer, former leader of Manchester city council, said: "It is an appalling, unjustifiable decision. I'll be demanding an urgent meeting with Alistair Darling.

"I won't accept this decision. It is fundamental to the future economic health of Manchester that we have the extension to the tram system.

'Political cowardice'

"Deputy Prime Minister John Prescott should have taken the decision four years ago.

"It was a piece of political cowardice not taking the decision then, which has proved extremely costly to Greater Manchester. It is a dreadful and shocking decision and there will now be a gloves-off fight with the government."

At the same time as dealing a major blow to Manchester's Metrolink, Mr Darling was expected to give the go ahead to the '10bn trans-London Crossrail project. But the London scheme will not be ready before 2013 at the earliest - a year later than the Olympics, which London is bidding for.

The contrast between the massive scheme for the capital and the thumbs down for Manchester's ambitious light rail system will fuel MPs' anger about the "north-south divide"

Tony Dawson, Lib Dem parliamentary spokesman for Oldham East and Saddleworth, said: "As with the Millennium dome fiasco, still costing us thousands every day, Labour's priorities seem over-focused on London.

"One day they tell us funds are seriously stretched and they cannot guarantee to fund our supertram system through Oldham and Rochdale; the next week they are promising '10bn to a new train system in London."

GMPTE has already carried out clearance work at a number of sites to prepare for the new Metrolink lines, including land in Trafford Park where a new Metrolink depot was to be built.

A 75-metre tunnel has been built at the Manchester Airport Ground Transport Interchange and property demolished at Mumps in Oldham and Brownley Road in Wythenshawe.

A tunnel underpass under Alan Turing Way and Gibbon Street in east Manchester was finished last March.

Mr Prescott refused to comment.

Should the government have found the money to help fund the big bang?