Commons Sense

House of Commons · Written Ministerial Statement

Transport for London Extraordinary Funding and Financing

18 May 2020 · Department for Transport

Proposed by Grant Shapps Con Welwyn Hatfield

Transport

Summarised by AI from the official record, so it can contain mistakes.

View on Parliament.uk

At a glance

Key points

  • The UK government provided Transport for London with a grant of 1.095 billion and a loan facility of 505 million.
  • The funding package includes conditions such as fare increases and restoring services to pre-COVID levels.
  • There is potential for an additional 300 million to be made available if needed.

Issue summary

The statement addresses the extraordinary funding and financing support provided by the UK government to Transport for London (TfL) to maintain essential public transport services during the COVID-19 pandemic.

Action requested

The Government agreed on a £1.095 billion grant and a loan facility of £505 million for TfL, with potential for an additional £300 million if needed. The package includes conditions such as fare increases, restoring services to pre-COVID levels, collecting bus fares, and changes in the Congestion Charge to manage social distancing and reduce exposure for vulnerable groups.

Key facts

  • The Government agreed on a support package of £1.095 billion grant and a £505 million loan facility for TfL.
  • An additional £300 million can be provided if revenue loss is higher than forecasted.
  • TfL services are essential for over half of all bus and rail journeys in England, especially crucial for critical workers and the city's operation during the pandemic.
  • Fare increases by RPI plus 1% on all modes are proposed for January.
  • The Congestion Charge will increase to £15 with extended hours.
  • Free travel for over-60s in morning peak and under-18s all day is temporarily suspended, but concessions remain for disabled individuals.
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