Groundhog day as TfL funding standoff continues


Grant Shapps has continued to put pressure on London mayor Sadiq Khan to worsen the employment conditions of Transport for London (TfL) employees with another short-term funding fix.

The transport secretary has agreed with the mayor to extend TfL’s temporary funding settlement, which was due to expire last week, until13 July.

In a statement to Parliament, Mr Shapps said the temporary nature or the settlement was ‘necessary in part due to the unsatisfactory progress made by TfL on its conditions, including pensions’.

He told MPs: ‘Resolving these issues is an integral part of setting TfL on the path to financial sustainability, and government stands ready to engage constructively to reach a resolution. This extension ensures that they receive due attention, as well as allowing time for both sides to consider a longer-term capital settlement.’

Mr Shapps added that the Government ‘continues to press the Mayor of London and TfL to take the decisions needed to put the organisation on a sustainable footing’.

A TfL spokesperson said: ‘Whilst in receipt of Government support, we have worked hard to progress all conditions placed on TfL, and continue to believe that we have met them all.

‘Working together, we must achieve a longer term capital funding settlement that ensures London's transport network can remain reliable and efficient, can support the jobs and new homes that rely upon it and can support the economic recovery of the capital and the country as a whole. We hope these discussions can be concluded successfully soon.'

TfL is already under pressure from unions over possible cuts to jobs, pay and conditions. Last week saw another strike across the London Underground network, while drivers on the Croydon Tramlink, operated by FirstGroup on behalf of TfL, walked out on Tuesday.

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