Following my statement to the House on 5 January, I am updating the House on an interim extension of the current Transport for London (TfL) funding settlement that was due to expire on 4 February 2022 by two weeks to 18 February. This has been agreed by the Mayor of London.
Since the start of the pandemic, we have supported the transport network in London with over £4.5 billion funding through extraordinary funding settlements for Transport for London. We have recognised the reliance of London’s transport network on fare revenue, and Government continue our commitment to mitigating loss of fare revenue because of the pandemic.
Government are committed to supporting London’s transport network as we have since the start of the pandemic, and are in discussions with TfL on a fourth funding settlement. This short extension will enable us to finalise the terms of a robust settlement for this period, ensuring TfL and the Mayor take steps to move towards financial sustainability. In this extension, Government will continue to ensure the provisions of the existing agreement are delivered while providing continued certainty to Londoners as we move out of plan B restrictions.
Support to Transport for London has always been on the condition that Transport for London reaches financial sustainability as soon as possible and with a target date of April 2023 and Government continue to press the Mayor of London and Transport for London to take the decisions needed to put the organisation on a sustainable footing. I will update the House at my earliest opportunity on the details of the fourth funding settlement.