TfL bid for £1.7bn bailout to keep services running

Passengers are gradually returning to London's transport network

An extra £1.7bn is needed to keep London's transport services running until 2023, Transport for London (TfL) says.

Transport bosses also asked for £1-1.5bn extra funding per year to improve TfL services in their written response to the chancellor's Spending Review.

The government has paid nearly £4bn in bailouts to keep TfL services running during the coronavirus pandemic.

TfL said London's transport is "key to a sustainable recovery".

Andy Byford, TfL's commissioner, said: "We are playing a central role in the economic recovery of London and the UK."

"Public transport investment in London contributes directly to the government's aims around an infrastructure-led recovery, supported by shovel-ready projects and levelling up.

"Frequent, reliable and green public transport is key to a sustainable recovery from the pandemic."

The government has paid nearly £4bn in bailouts to keep TfL services running during the coronavirus pandemic

The collapse in passenger numbers during the pandemic cut TfL's finances and government funding was required to keep services running.

Latest figures show London Underground usage is regularly reaching at least half of pre-pandemic levels. Overall demand for buses is reaching about two-thirds of pre-pandemic levels on weekdays.

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TfL estimates that £500m in emergency funding is needed through to the end of 2021/22 and £1.2bn for 2022/23 to "get the London and UK economies back on track".

The network is also bidding for "modest" government investment of £1-1.5bn a year over the next five years.

TfL said it would complete delayed infrastructure upgrades, including modernisation of signalling on the Piccadilly line and the electrification of London buses.

The money would also support country-wide economic recovery and create up to 3,000 green jobs across the UK, according to TfL.

TfL claim that "55 pence in every pound invested into maintaining and modernising London Underground is invested in companies outside of London through our extensive supply chain".

As part of plans to achieve financial sustainability by 2023, TfL is also considering a Greater London Boundary Charge. The proposed toll would charge motorists £3.50 for driving into London from outside the capital, rising to £5.50 for more polluting vehicles.

The Treasury has been approached for comment.