Skip to content
Friday 28 August 2026London --:--Frankfurt --:--Zurich --:--
NewslettersSearchEN · DE · FR
MorningWire

European business, markets and politics

FTSE 100
10,792.54
-0.79%
DAX
26,367.24
0.00%
CAC 40
8,319.87
0.00%
STOXX 50
6,424.73
0.00%
  • Europe
  • Markets
  • Business
  • Economy
  • Regulation
  • Politics
  • Opinion
More
GermanyFranceEU InstitutionsCompetitionPublic AffairsBankingTechnologyEnergy
  • Germany
  • France
  • Europe
  • Markets
  • Business
  • Economy
  • Regulation
  • Politics
  • Opinion
  • DE
Tuesday 15 March 2016 1:23 pm

Business groups welcome Transport for London’s budget and business plan while Zac Goldsmith says it shows Sadiq Khan’s policy would leave London transport with £1.9bn black hole

By: James Nickerson

Add as a preferred source on Google

Business groups have welcomed the new budget and business plan from Transport for London, which set out improvements including the continuing construction of Crossrail.

The budget plan also outlined developments including extensions and modernisations to a number of Tube lines and reasserted the importance of the Night Tube, as well as ​drawing attention to a range of road improvements that are being considered, including further cycle roots and superhighways.

“Our transport system is carrying half a billion more people than four years ago, whilst doing so more efficiently, reliably and safely – and with greater customer satisfaction – than at any other time in London’s history," Mayor of London Boris Johnson said.

He added: "Delays on the Underground have been halved, we’ve introduced 191 British-made new air-conditioned trains, cycling is at a record high, transport crime at a record low and the number of people killed or seriously injured on our roads has been cut by 40 per cent."

The ambitions were welcomed by the Institute of Directors, who said that big infrastructure projects are needed in London, and encouraged TfL and unions to unlock the potential of London's 24/7 economy.

Dan Lewis, senior infrastructure adviser, said: “London has the scale, economic and population growth to demand big infrastructure projects from central government."

Read more: Here's how much house prices have risen along the Elizabeth Line since building started

"With up to four million more people expected by 2050, the capital will soon grind to a halt without the transport capacity to match. It may grow even faster than expected. 15 years ago, there was concern about how to find space for an extra 700,000 people but we ended up with 1.5 million more.

"Infrastructure is crucial to London’s success, and here, TfL needs help from national government," he added.

The CBI echoed Lewis' enthusiasm, with a spokesperson having said: “As London grows, it’s vital there is continued and sustained investment in the city’s transport infrastructure. This will give Londoners and those who work in the capital higher quality, and more reliable, transport links.”

However, Conservative mayoral candidate Zac Goldsmith said that the budget showed the his rival Sadiq Khan's plan to freeze fares for four years would cost £1.9bn.

According to the TfL accounts, the budgeted fares revenue for the current year 2015-16 is £4.6bn, rising to £6.6bn by 2020-21.

Goldsmith said: "These new figures from TfL are conclusive proof that Khan's experimental policies would leave London's transport system with a £1.9bn black hole. It would decimate investment and make Crossrail 2 impossible or hit Londoners in their pockets with council tax rises.

"London's economy is too important to risk the extra overcrowding and longer waits that would come from the Khan – Corbyn experiment in City Hall," he added.

Read more: Transport for London rezoning the Tube map

But Khan hit back, saying "as Mayor I will put an end to years of Tory fare hikes by freezing fares for four years, so Londoners won’t pay a penny more in 2020 than they do now.

“I have a comprehensive plan to pay for my fares freeze by cutting waste and creating new sources of income– the head of TfL said just last week that my plans will not damage investment or improvements.

“Zac Goldsmith must come clean with Londoners that he’ll hike their fares by 17 per cent over the next four years – costing Londoners up to £1,000 more," he added.

A range of measures to improve air quality, including the creation of an Ultra Low Emission Zone are also being progressed in the budget.

The budget also leant its support to the National Infrastructure Commission's conclusion that Crossrail 2 is absolutely vital to meeting the needs of London’s population.

Meanwhile, TfL is also identifying value engineering options on new investment projects and targeting programme cost reductions of 10 per cent through better cost management.

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • News

Categories

  • Business
  • Transport & Infrastructure

Trending Articles

  • Pensioners to hand over bank statements in government benefits crackdown

  • Jamie Carragher: HMRC petitions for Sky Sports star to be declared bankrupt

  • Brewdog founder James Watt hits out at ‘total silence’ over new venture

  • Lloyds Bank and Halifax users unable to use app in latest outage

  • Economists urge Bank of England to halt bond sales as borrowing costs climb

More from Morning Wire

  • Which is the smelliest Tube line?

    Opinion
    Passenger wearing a blue surgical mask and coat on a London Underground train.
  • Cut student loan repayments to get youths out of chicken shops 

    Retail
    Three young adults enjoying chicken burgers and drinks from a food truck, casually dining outdoors.
  • Give London power to level up the rest of the country

    Opinion
    Business professionals in formal attire engaged in a lively discussion at a corporate meeting in a modern office setting.
  • The BBC shouldn’t push Londoners to accept antisocial phone behaviour 

    Opinion
    Passengers inside a graffiti-covered London Underground train car, some looking at phones, others observing the interior.
  • Hammersmith Bridge is a test for Burnham’s place-based growth

    Opinion
    Hammersmith Bridge closed in 2021 with fencing, banners, and traffic cones blocking access to the walkway.
  • Burnham’s devolution drive could ‘push 90,000 jobs out of London’

    Economics
    In 2022, rolling Tube strikes led to massive queues for crowded buses. (Photo by Chris J Ratcliffe/Getty Images)
  • A global tram renaissance is underway. Why isn’t London jumping on board?

    Opinion
    London tram 1925 with Last Tram Week sign in front of the Houses of Parliament and Big Ben, 1952.
  • Let them build homes near stations, but let them be beautiful too

    Opinion
    Two town planners examining a London monorail concept model with buildings and a proposed elevated train line.
MorningWire

Independent European business, markets and political news for decision-makers.

Morning Briefing

Europe

  • Germany
  • France
  • EU Institutions
  • Europe

Business

  • Markets
  • Business
  • Economy
  • Regulation
  • Competition
  • Public Affairs

Editorial

  • Opinion
  • Editorial Policy
  • Corrections
  • Contact

Company

  • About Morning Wire
  • Privacy Policy
  • Terms of Use
  • Cookie Policy
© 2026 Morning Wire Ltd · Published by Morning Wire Media, Bahnhofstrasse 65, 8001 Zürich, Switzerland
Privacy · Terms · Cookies · Facebook