A decision on plans for a new £25m Rail link between Oxford and Milton Keynes is expected within weeks.

Transport Secretary Stephen Byers is currently considering whether to help fund the link, which would provide direct trains between the two cities.

The Strategic Rail Authority (SRA), which advises the Government on railway issues, has confirmed the application would be considered this week and a recomendation would be made to Mr Byers.

Members of the East-West Rail Consortium, which includes Oxford City Council, Oxfordshire County Council and the Vale of White Horse and South Oxfordshire district councils, said they were hopeful of a positive result. Consortium project manager Chris Hayward said: "We believe a decision will be made, possibly within two weeks. We are confident."

The Oxford-Bletchley link is part of a larger £200m project to connect Oxford to Cambridge and East Anglia.

Train lines currently run along the bulk of the route, but there are missing tracks between Bicester and Bletchley, near Milton Keynes, and between Bedford and Cambridge. Bicester Town station would be upgraded under the scheme.

Private financing for most of the project has already been found, but Government cash is needed before work can start. It is unclear how much the consortium has asked for. The figure will be revealed if Mr Byers gives approval.

A Government spokesman said Mr Byers could not make a decision until the SRA's recomendations were received.

If he agrees to part fund the project there could be direct trains from Oxford to Milton Keynes within 12 months.

Mr Hayward said:

"Currently there is one train an hour from Oxford to Bicester. There would be more when the project is complete."

Mr Hayward said work could begin within weeks but Government funding, although said to be a small percentage of the £200m, was vital.