Transport for London: Bosses want more time to consider bailout offer

London mayor Sadiq Khan said any deal must not damage TfL, unfairly punish Londoners or inhibit the city's economic recovery

Transport for London (TfL) has requested more time to decide on whether to accept the latest bailout offer from central government.

The current £200m deal, agreed in February, runs out on 28 July.

It has already been subject to two short-term extensions, having been set to expire at the end of June.

London's transport commissioner Andy Byford wants a further extension to allow TfL time to "peruse" the draft settlement "in absolute detail".

According to the Local Democracy Reporting Service, Transport Secretary Grant Shapps wrote to TfL with details of a draft long-term funding settlement last Friday, but Mr Byford said it had come through "very late" and that the details had been "very complex".

The contents of the draft settlement have not been made public because it contains "market sensitive" confidential information.

Mr Byford said TfL wanted a three-year deal, and the one on offer was less than that.

He told members of the TfL board at a meeting that more time was needed to analyse the offer and that he would not recommend that TfL accepted it "if it is less than we need".

He said: "We've previously set out what we would need. We've made very clear that, for the remainder of this financial year, through to 31 March 2023, we would need an additional £927m to tide us over, and we're considering whether the proposal from government meets that need and, if not, the very difficult choices we would have to make.

'Could punish Londoners'

"There are some significant issues that we need to address within this proposal that we have received. It is going to take time."

Mr Byford added TfL was "determined to avoid" entering a scenario of managed decline, but "not at any cost".

The Department for Transport has not yet confirmed whether it will grant another short-term extension.

Following the board meeting, London mayor Sadiq Khan said more time was necessary as it was "important that this offer is thoroughly reviewed in order to understand its impact on Londoners and the wider economy".

He said: "TfL needs to consider if this draft proposal delivers the funding that is needed to avoid having to make painful cuts to London's transport network.

"It's in no one's interest to have conditions attached to this funding deal which could damage TfL, unfairly punish Londoners or our economic recovery."

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