Cairngorm Funicular Reinstatement Enters Final Stages - Service Due To Relaunch Early Next Year - Final Cost £25million

15th November 2022

Photograph of Cairngorm Funicular Reinstatement Enters Final Stages - Service Due To Relaunch Early Next Year - Final Cost £25million

One of Scotland's most complex and challenging civil engineering projects of recent years - the multi-million pound reinstatement of the Cairngorm funicular railway - is entering its final stages.

One of Scotland's most complex and challenging civil engineering projects of recent years – the multi-million pound reinstatement of the Cairngorm funicular railway – is entering its final stages.

Contractor Balfour Beatty, working on behalf of estate owner Highlands and Islands Enterprise (HIE), is nearing completion of the programme of works required to strengthen the viaduct that supports the 2km track on the UK’s highest railway, and is currently demobilising from the mountain.

The focus now turns to engineers from Swiss company Garaventa/Frey, who are installing a new control system to ensure safe operations once the funicular comes back into service early in 2023.

Over the coming weeks they will lay fibre optic cabling and test the system repeatedly in live conditions. This means that Cairngorm Mountain trains are using the funicular track again for the first time in four years.

Testing is expected to continue into December. Safety certificates from the Department for Transport will also be required and HIE expects these will be obtained early in the new year.

While work continues on the control system, car park improvements at Cairngorm Mountain are nearing conclusion. A new conveyor system is also being installed to provide uplift for snowsports beginners and, in future, family-friendly mountain biking.

The Ptarmigan building at the top station, which houses the UK’s highest restaurant, a shop, exhibition space and viewing platforms, has been given a major makeover too.

A key attraction at the Cairngorm Mountain resort, the funicular opened in 2001 and was taken out of service in October 2018 following a safety inspection.

After this, HIE commissioned specialist engineering studies to investigate the condition of the structure in detail and assess what would be required to resume safe operation.

A detailed options appraisal then considered a range of actions – from removing the funicular altogether to replacing it with an alternative form of uplift – before recommending reinstatement of the existing structure.

Contractors began preparatory works on the viaduct in November 2020 before the major strengthening programme got under way in April 2021.

Originally planned to conclude by autumn 2021, the construction timetable had to be extended due to multiple factors, including spring blizzards, impacts arising from Covid and Brexit, and technical challenges which resulted in additional works needing to be carried out.

Significant cost inflation in the construction sector and the weakness of sterling in international exchange rates have also delivered financial impacts.

As a result, HIE now estimates that the final cost of reinstating the funicular railway will be in the region of £25m. This compares with £16.16m that was originally budgeted as part of a wider capital investment package approved by the HIE Board and the Scottish Government in 2020.

HIE has reallocated uncommitted funds from the wider Cairngorm masterplan capital investment package to meet the additional costs. The Scottish Government also allocated £7m additional funding in June 2022.

HIE is currently pursuing legal action against the funicular’s original designer and construction contractor in the Court of Session, in a bid to recoup public funding.

Dave Macleod, head of property and infrastructure with HIE said: "The funicular reinstatement programme is undoubtedly one of the most challenging civil engineering projects currently taking place in Scotland.

“Essentially, it involves strengthening a series of 94 interconnected bridges which are part of a 2km structure, each with its own challenges and at high altitude in a difficult mountain environment. The loop section where the carriages pass one another on separate tracks is another feature that required a great deal of ingenuity to solve.

“Balfour Beatty have truly pulled out all the stops to reach this vital stage in the project and it’s really exciting to think that we are now looking at the prospect of passengers riding on this spectacular mountain railway again early next year."

Hector MacAulay MBE, managing director of Balfour Beatty’s UK Construction business in Scotland said: “We are delighted to have played a key role in the reinstatement of this iconic piece of infrastructure.

“As the project nears completion, we are excited to see the benefits the Cairngorm funicular railway will provide, enabling local residents and tourists alike to access the unique mountain environment all year round.”

Contractors will continue to work on the mountain removing final materials and demobilising until the end of the year.

Environmental restoration works, including replanting and re-seeding, will proceed during 2023 and beyond.

 

Related Businesses

 

Related Articles

8/10/2026 : Advisory / Counseling Services

Innovation and AI: New opportunities for businesses across the Highlands and Islands

Innovation has always been a defining characteristic of businesses and social enterprises in the Highlands and Islands.   Whether developing new products, finding ways to overcome the challenges of distance and geography, improving services, or identifying new markets, organisations across the region have a long track record of adapting and evolving.  

30/9/2026 : Local Authority

Scottish Cities Alliance Investment Conference to showcase Highland opportunities

Inverness will welcome government representatives, investors, business leaders and economic development partners later this week as it hosts the Scottish Cities Alliance Autumn Investor Event.  A two-day programme designed to showcase investment opportunities across Inverness, the Highlands and Scotland's city regions.  

29/9/2026 : Local Authority

Are We Trying to Save Britain’s Towns Without Planning Their Future?

Walk through almost any British town centre and you can see the evidence of change.   There are empty shops where there were once businesses.  

26/9/2026 : Advisory / Counseling Services

September is Scottish Start-Up Month – could your business idea become a reality?

September has become a month when Scotland's aspiring entrepreneurs are being encouraged to take a closer look at an idea that may have been sitting in the back of their minds for some time.   Scottish Start-Up Month, led by Business Gateway, has returned for 2026 with a simple message: if you have an idea for a business, this could be the month to take the first step.  

22/9/2026 : Advisory / Counseling Services

Scotland and Ireland Strengthen Economic Links Between Gaelic Communities

Scotland and Ireland Strengthen Economic Links Between Gaelic Communities Scotland and Ireland are developing closer links between their Gaelic-speaking communities, with housing, artificial intelligence, renewable energy, tourism and the marine economy among the areas being explored for future cooperation.   The initiative was highlighted during a visit to Skye by Ireland's President Catherine Connolly, who met representatives of Highland organisations including Highlands and Islands Enterprise (HIE) and Highland Council.  

22/9/2026 : Advisory / Counseling Services

AI Support For Businesses In Highland

Businesses and social enterprises across the Highlands and Islands are being supported to explore the opportunities offered by artificial intelligence (AI) through two new support initiatives launched today by Highlands and Islands Enterprise (HIE) as part of AI Scotland.   Applications are now open for the new AI Adoption Programme and AI Mentoring Support service, which are designed to help organisations understand, assess and implement AI technologies that can improve productivity, boost innovation and support growth.  

21/9/2026 : Advisory / Counseling Services

£1.78m innovation programme to benefit 500 businesses

A new three-year programme (14 September) is expected to help more than 500 businesses and social enterprises across the Highlands and Islands to innovate and grow.   Highlands and Islands Enterprise (HIE) has approved a £1.78m budget to fund the programme, which builds on ten years of innovation support by the agency.  

11/9/2026 : Advisory / Counseling Services

 
HIE appoints new area manager for Caithness and Sutherland

Highlands and Islands Enterprise (HIE) has appointed Claire Wilson as its new area manager for Caithness and Sutherland.   Claire succeeds Eann Sinclair, who retired after eight years as area manager and more than three decades with HIE.  

8/9/2026 : Advisory / Counseling Services

Public sector investment supports floating offshore wind foundations development for Highlands

Plans to produce floating offshore wind foundations at Port of Ardersier have taken a step forward with the approval of more than £778,000 in Scottish Government funding.   Approval was given by Highlands and Islands Enterprise (HIE) after close collaboration with Scottish Enterprise’s international arm, Scottish Development International (SDI), to secure the project for Scotland.  

1/9/2026 : Advisory / Counseling Services

Scotland Is Attracting the Investment But Where Is Caithness and Sutherland's Share?

There is an encouraging message in the latest investment figures for Scotland.  There is also a question that should matter particularly to Caithness and Sutherland.