The Metro is a key part of Birmingham's vision for transport into the future and abandoning the underground section is seen as a setback for the planners.

Now, a new strategy is being launched, proposing a metro expansion from Snow Hill to Five Ways at street level.

A second line to the airport would go underground, but will cost �2bn.

Embarrassing

The Government has already refused to provide funds for tram schemes in other parts the country, so finding the money will not be easy, said the BBC Midland transport correspondent, Peter Plisner.

He added that the scrapping of the original underground project was an embarrassing u-turn for the council, which is now having to do a re-think on the next phase of the project.

The first phase of the Metro service runs from Birmingham's Snow Hill station to Wolverhampton St George's along the A41. It opened six years ago.