Clover's new Cloud Arch blows out by $8m

Sydney's updated Cloud Arch design will cost a pretty penny more than the original, but supporters say the sculpture will put Sydney on the social media map.

The updated design for Cloud Arch, a massive steel sculpture that will soar over George Street, was unveiled on Friday accompanied by a revised cost of $11.3 million up from the original price tag of $3.5 million.

Sydney Lord Mayor Clover Moore says the price hike is due to a rise in global steel prices and complex engineering problems associated with placing the artwork over a cavernous city underground, but can't promise there won't be further cost blowouts.

Supporters of the Cloud Arch say it will cater to a growing Instagram generation and put Sydney on the map, with tourism and economic benefits far outweighing the initial cost.