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Transport for London warns of £3.2bn funding gap from COVID-19

Transport for London says it expects to lose more than £4 billion in revenue in the current financial year, due to the COVID-19 pandemic. It adds there could be a funding gap in a proposed emergency budget of around £3.2bn.

In a paper published for an emergency finance committee meeting on May 12, TfL says it costs around £600 million per month to run its network, but that income has fallen by 90% since the lockdown began. As well as a decline in public transport revenue, London’s congestion charge has been suspended to allow key workers to use the road network

TfL has already furloughed 7,000 staff and stopped major project activities, including more than 300 construction projects. It has also applied for the deferment of other government levies such as business rates, but warns: “These savings cannot cover the loss from the steep decline in revenue.”

It adds that the majority of TfL’s costs are spent on its supply chain and internal labour costs.

  • For the FULL story, read RAIL 905, published on May 20, and available digitally from May 16.

  • For the FULL story regarding the railway's ongoing response to the COVID-19 situation, read RAIL 905, published on May 20, and available digitally from May 16.

     



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  • Rip off Britain - 29/08/2020 09:43

    For all those years TFL ripping off us commuters, telling us all these lies about cancellations, overpaying train drivers for driving an automated trains. I’m glad they are finally cleaning the disgusting trains now for once. Good riddance, wish the whole thing just collapsed and everyone gets fired because it is so hopeless, someone can start it again properly.

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