said:
“We have just reached agreement with the Government on a funding
package to allow TfL to run public transport safely in London for
the next four and a half months. This was necessary because
Covid-19 has had a catastrophic impact on TfL’s finances – as it
has on every transport provider in the UK.
“I want to be completely honest and upfront with Londoners – this
is not the deal I wanted. But it was the only deal the Government
put on the table and I had no choice but to accept it to keep the
Tubes and buses running.
“In the last few years, London has been the only major city in
western Europe that hasn’t received direct Government funding to
run day to day transport services since it was cut by the last
Government. This means we rely very heavily on passenger fares to
pay for the services we run. Fares income has fallen by 90 per
cent in the last two months because Londoners have done the right
thing and stayed at home – so there simply isn’t enough money
coming in to pay for our services.
“We are running as many services as humanly possible given the
number of staff off sick, shielding or self-isolating. As staff
are returning to work we are increasing services as fast as
possible to get back to 100 per cent. From Monday we aim to run
around 85 per cent of buses, 75 per cent of Tubes, restore the
Circle line and re-open some of the 37 closed stations.
“The Government is, in effect, making ordinary Londoners pay the
cost for doing the right thing on Covid-19. They want fares to go
up next January – ending the four years fares freeze I delivered
after the last election. They have insisted that free travel is
temporarily suspended for Freedom Pass and 60-plus card holders
at peak times. We agreed it was the right thing to review the
Congestion Charge.
“The Government has also insisted that, unlike the deals done
elsewhere in the country, TfL takes on £505 million of additional
debt. This will undo the hard work we’ve put in to fix TfL’s
finances over the last four years – when TfL’s operating deficit
has reduced by 71 per cent.
“This deal is a sticking plaster. The old model for funding
public transport in London simply does not work in this new
reality – fares income will not cover the cost of running
services while so few people can safely use public transport.
Over the next few months we will have to negotiate a new funding
model with Government – which will involve either permanent
funding from Government or giving London more control over key
taxes so we can pay for it ourselves - or a combination of both.
“TfL and City Hall will do all that we can to enable London’s
recovery. We will run as many trains and buses as possible. But
we need Londoners’ help. We must not use public transport unless
absolutely necessary. People who can work from home must do so.
Everyone must walk and cycle more. People should wear a face
covering throughout their journeys.
“I promise to continue being as upfront and clear as possible
with Londoners about the challenges facing our city. This is not
the deal I wanted for our city, but together we can overcome the
challenges we face.”
