Sadiq Khan says fare rises and bus cuts are likely
(Picture: PA)The new funding agreement for Transport for London comes after more than a month of tough negotiations with the Government. As Mayor, I’ve been determined to stand up for London and to fight for our transport network.
The sole cause of TfL’s financial problems was Covid-19. Pre-pandemic, we were on track to record an operating surplus for the first time ever in TfL’s history, but the cycle of lockdowns caused income to fall off a cliff. And with people working from home more, it still hasn’t fully recovered.
We have negotiated hard on the latest deal, winning a number of key concessions. These wins mean that we will be able to avoid TfL having to make the devastating cuts to vital services previously proposed. But I want to be up front with Londoners — this deal is far from ideal.
The Government is saying this settlement ensures TfL has almost the same amount of funding it was planning to spend before the pandemic.
But with high inflation, reduced passenger numbers and a backlog in the renewal of key infrastructure, it’s not hard to see why the level of funding TfL requires now, compared with 2019, is very different.
The truth is the Government is still leaving TfL with a significant funding gap, meaning we will likely be forced to increase fares and proceed with some cuts to bus services.
There are also damaging strings attached to this deal — none more malicious than the Government trying to force TfL to rush through significant reform to its pension scheme. It’s no secret that the conditions placed on TfL as part of previous deals have been a motivator for strikes.
This latest deal seems designed to provoke further industrial action.
The challenges ahead are significant but I promise that we will not only work flat out to mitigate the impact of the conditions imposed by the Government, but that we will do everything possible to ensure we maintain a world-class transport network.
