TfL funding crisis: Khan hits back after London minister tells mayor to ‘get real’ on Tube cuts

Mayor Sadiq Khan tonight hit back at claims from the central Government that he needs to “get real” about Transport for London’s funding crisis as the clock ticks down.

” If TfL is forced to make significant cuts to services it will risk our city’s economic recovery,” Khan said.

Minister for London Paul Scully earlier today said there was “no basis” for Khan’s claims that several bus and Tube services could face the axe as a result of Transport for London’s (TfL) current funding crisis.

Scully’s comments come after the mayor said yesterday that between 500 and 600 jobs at Tube stations could be cut to save TfL’s finances, as the latest government bailout is expected to run out on Saturday.

The Evening Standard reported a government source saying that “there is a deal on the table, if he [Khan] wants it,” adding that the mayor needs to “get real” about the crisis and provide his own solutions.

“There is, and will be, more than enough money to keep services running at their current levels, and there is no basis whatever for Khan’s threat to cut them,” Scully wrote.

“In the next deal we will commit, as we have before, to making up TfL’s loss of fare revenue from Covid. TfL’s main source of income is therefore guaranteed by the state – at a cost so far to national taxpayers of more than £4bn,” he said.

“We have paid, and will continue to pay, for TfL because we see it as essential for London, and a model for the rest of the country. That support is why TfL’s staff and services are at no risk, unless the mayor wants them to be.”

However, Khan continued the tit-for-tat and said: ““Whilst any news of potential funding is welcome at this late hour, it’s vital that Ministers get round the table with us as soon as possible to explain what a deal will involve and to understand how it will impact the lives of Londoners.

“TfL have already set out options for raising £500m, but the Government has yet to provide any meaningful feedback on these proposals. It is understandable if Londoners conclude the Government is deliberately using any excuse to stall a deal being made in good time.” 

Khan has been accused by the government of slowing down negotiations due to his unwillingness to slash costs.

A government spokesperson said on Monday night that “the Mayor agreed to identify new or increased income sources by 19 November”, but “these have not been identified … we are therefore extending that deadline to 8 December and, once received, government stands ready to begin discussions on further support for TfL”.

A £3.50 daily boundary charge for Greater London and a return to the vehicle excise duty (VED) tax were among the proposals flagged by the mayor but they were both rejected by the government, which instead is preferring the widening of the congestion charge zone and pay-per-mile road charging, the Evening Standard reported.