Transport secretary Mark Harper has given Transport for Greater Manchester (TfGM) an ‘extraordinary funding settlement’ of £18m to ensure the stability and reliability of the city region’s transport network.
The Department for Transport said the cash is being provided on the condition that TfGM outlines a pathway to financial sustainability as committed to in Greater Manchester’s Trailblazer Devolution Deal.
TfGM faces a very distinct set of circumstances due to the way funding for the Metrolink tram network is structured and the city region’s unique local funding commitment to the Greater Manchester Transport Fund (GMTF).
Treasury officials added that the funding was 'set to last until the end of March 2024' and would support the region’s transport network as it faces declining bus and tram usage levels, inflation, historic debts and additional revenue risks from bus franchising, which is due to roll out from September as a cornerstone of TfGM's 'Bee Network'.
A Metrolink tram in the Bee Network's yellow livery
Mr Harper said: ‘Since the start of the pandemic, the Government has repeatedly stepped up to support Greater Manchester and the Bee Network, providing over £400m to protect and improve services.
‘We’re determined to see a thriving local transport network in this great city and, while our support package must be fair to taxpayers, I am confident this additional extraordinary settlement will help operators to recover from the pandemic while Transport for Greater Manchester follows through on its promise to reach financial sustainability.’
Greater Manchester mayor Andy Burnham said the cash ‘is of course welcome' but added that the total funding offered, which includes the extra £18m, 'represents less than half of the shortfall we face and is far less generous in percentage terms than the settlement offered to London'.
'If the Government is to deliver on its commitment of London-style public transport outside of London, it has to put funding behind it and ensure all parts of the country receive fair and equal treatment.
'We will continue to press ahead with our plans to introduce the Bee Network in September but have asked the secretary of state for more funding flexibility to deal with the challenges we face.’
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