Transport Committee Statement on TFL Funding Situation
Following the release of TfL’s revised draft budget guidance, Dr Alison Moore AM, Chair of the London Assembly Transport Committee said:
“To stop TfL running out of cash and Tubes and buses being brought to a standstill, the London Assembly Transport Committee recognises that further financial support from Government to TfL is needed.
“London’s transport system is the lifeblood of the city and it’s vital to London’s economic, cultural and social success. It’s essential that transport remains a first-class system for Londoners and visitors alike. That means regular frequency, affordable fares, line upgrades, new trains, big infrastructure projects, like Crossrail, and investment in walking and cycling.
“But TfL relies on fares for 72% of its income, compared to 38% in comparable cities like New York and Paris. During this crisis, we know fares income has fallen by as much as 90%. London drastically needs a new funding model given the ongoing impact on passenger numbers in the wake of COVID-19.
“Further discussions between TfL and the Government will be needed before any agreement can be made. Fresh thinking is fundamentally needed and options like retaining Vehicle Excise Duty paid by Londoners to maintain the capital’s roads should be on the table.
“The Committee will look closely at the details and implications of a future financial deal, along with any caveats, in upcoming meetings, to ensure TfL continues to deliver for all Londoners. This city cannot be brought to its knees time and time again.”