London mayor Boris Johnson and transport secretary Geoff Hoon have reached a deal that will allow a further extension to the East London Line.
The move, which will see the line extended with a new spur from Surrey Quays to Clapham Junction, will complete the London Overground network and create an orbital railway around the capital.
It is expected that the £75m scheme will be completed by May 2012, in time for the start of the London Olympic Games.
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