Work on Bradford's £7 million guided bus lane should be completed at the end of January - almost four months behind schedule.

The Manchester Road project is expected to be officially opened on January 30, bringing to an end 16 months of traffic chaos on one of the city's busiest commuter routes.

But the scheme is still awaiting the green light from the Government.

After he made a second visit to the site, an official from Her Majesty's Railway Inspectorate said a number of improvements still needed to be made to the busway.

It is believed most of the delays were due to alterations to the scheme following consultation with local councillors and residents.

A spokesman for First Bus, one of the three partners in charge of the scheme, said today the inspector's recommendations were being put in place and were unlikely to cause any further delay.

And he said the worst of the congestion was now over.

"People will not see the same kind of roadworks any more. There are just fairly minor works to be completed," he said. "The remaining works will all be completed before the scheme opens at the end of January." The project was started in October 2000.

The First Bus spokesman added: "On behalf of all the partners in this scheme, we would like to apologise for that delay and appreciate everyone's patience."

But Philip Anness, joint owner of electrical store Reyner Domestic in Manchester Road, said many people still felt the scheme was a waste of time and money. "These roadworks have had a major affect on business and our passing trade is down 30 per cent. The pace of work hasn't surprised me because nothing ever gets finished on time," he said.

"At the end of the day, this scheme is going to see a major road into Bradford cut from three lanes to two - and I can't see the sense in that."

Councillor John Prestage (Lab, Keighley South), a member of the West Yorkshire Passenger Transport Authority, said he regretted the delays and sympathised with local businesses.

"Unfortunately, it is the same with any scheme of this size. For months it is an inconvenience but when it is in operation both businesses and residents will feel the benefits.

"My sympathy goes out to all the people with local businesses but let's hope that, as soon as traffic gets back to normal, people will return to those shops."

And Councillor Ann Ozolins (Lib Dem, Idle), also a member of the WYPTA, said despite earlier fears she was now confident the scheme would succeed.

"I think it is really sad that it has had to be delayed but I believe it will help ease the problem of congestion on Manchester Road," she added.