IN RE321, I concluded: “TfL cannot rely upon the current model of post-pandemic passenger income as its principal source of income” and that a realistic long-term sustainable financial model needs to be found.
In May, Appendix 1 to the Statement of Accounts in the TfL Budget 2023-24 document referred to: “In 2024/25, TfL is able to fund around three-quarters of its total £2 billion capital investment, but a Government funding contribution of £475 million is assumed.”
This financial gap of £475m to support capital funding projects was repeated at the London Assembly by both Sadiq Khan, Mayor of London and Andy Lord, TfL commissioner, during a meeting on July 6.
The loss of TfL’s annual Government grant prior to the Covid-19 pandemic has focussed thinking and spending policies for much of the past decade. Even prior to the pandemic, more than £1bn of annual savings had been found. Being committed to provide services throughout the pandemic, the relatively fixed costs of operating a transport system
