Laing O'Rourke is main contractor for the scheme, and began enabling works on the site in September 2014.
The hospital put forward an outline business case priced at £420m which was approved by the Government last year. But the project's costs subsequently increased by £60m. However, the Treasury has now agreed to provide the extra funds and signed off the revised business case, MP for Brighton Kemptown & Peacehaven Simon Kirby has revealed.
The 3Ts Redevelopment project will created a new centre for specialist tertiary, trauma and teaching facilities in the region.
Chancellor George Osborne said: “Simon has worked very hard over long period of time to help make the case for Brighton's hospital redevelopment. He has been a loud voice for his constituents and I share his delight that the final business case has been approved.”
Kirby said: “The redevelopment of the Hospital is something very close to my heart having lobbied both the chancellor and the health secretary for a long time. This redevelopment will enable the hospital to provide the very best facilities that the patients and staff deserve. This is great news for our city and the wider area.”