Smart Transport

TfL and Government strike £825m deal on Crossrail funding

Transport for London (TfL) and the Government have confirmed an agreed £825 million finance package to deliver the final phase of the Crossrail project.

The deal between TfL, the Department for Transport (DfT), the Treasury and the Mayor of London will mean work on the railway can continue “at pace”.

Crossrail announced in August that it expected the Elizabeth line to open through central London in the first half of 2022 and that they would require funding beyond the agreed funding envelope.

The shortfall will initially be covered by the Greater London Authority (GLA) borrowing up to £825m from the DfT which will be given by GLA to TfL as a grant.

The GLA will repay this loan from Business Rate Supplement (BRS) and Mayoral Community Infrastructure Levy (MCIL) revenues.

The Mayor of London, Sadiq Khan, said: “Securing this financing package enables us to press full steam ahead with getting the central section of the Elizabeth line open as soon as possible.

“The Government have insisted London must pay the shortfall - despite the overwhelming majority of the tax income that will result from Crossrail going to the Treasury.

“This is another example of London supporting the country way over and above the help we get from this government.

“I do not want this project to be stalled so it is vital that we dig deep to get the railway up and running.

“I will continue to monitor progress closely and do everything I can to minimise costs - helping ensure London and beyond can enjoy its many benefits sooner rather than later.”

Mark Wild, Crossrail chief executive, said the delivery of the Elizabeth line is now in its final complex stages.

Wild said good progress is being made on completing the remaining infrastructure works before operational testing begins “at the earliest opportunity in 2021.

Governance of Crossrail transferred directly to TfL in October, helping to simplify responsibilities and ensure decision making is seamless and fully aligned at this crucial stage.

The project remains jointly sponsored by TfL and the DfT and an independent DfT representative will attend the committee meetings.  

When fully open, the Elizabeth line will increase central London's rail capacity by 10%, able to carry more than half a million passengers per day and will support new journeys through central London out to Essex and Berkshire.

Watch now: Connecting Policy To Solutions Virtual Conference 2021

Smart Transport Conference returned on June 8th & 9th, to facilitate pivotal discussions on the future of transport. 

The UK’s most senior public and private sector transport leaders discussed the impact of Covid-19, achieving the Government’s decarbonisation ambitions, the need for more efficient living and better health, and much more.

Kwasi Kwarteng, secretary of state at the Department for Business, Energy and Industrial Strategy (BEIS), who spoke on BEIS's approach to decarbonising transport, particularly the electrification of the vehicle industry. Watch his presentation below:

 

Comment as guest


Login  /  Register

Comments

No comments have been made yet.

Related content




Office Address
  • Smart Transport
    Media House
    Lynch Wood
    Peterborough
    PE2 6EA
Join the community
  • Smart Transport is the UK's most important brand to bring together senior public policy makers and influential private sector leaders to showcase real-time solutions aligned to government policy.
  •  
  • Find out more
  • Insight
  •  

 

Welcome to Smart Transport

Welcome to the Smart Transport website, keeping you up-to-date with the latest news, insight and reports from policymakers and thought leaders.

The Smart Transport brand connects policy to solutions by bringing national government and local authority policymakers together with private sector organisations.

Contact Lindsay Greatbatch for more information.

© Bauer Consumer Media Ltd
Media House, Lynch Wood, Peterborough, PE2 6EA - Registered number 01176085 IPSO regulated logo

 

Smart Transport members

Smart Transport board members

 

Please note:
By submitting any material to us you are confirming that the material is your own original work or that you have permission from the copyright owner to use the material and to authorise Bauer Consumer Media to use it as described in this paragraph. You also promise that you have permission from anyone featured or
referred to in the submitted material to it being used by Bauer Consumer Media. If Bauer Consumer Media receives a claim from a copyright owner or a person
featured in any material you have sent us, we will inform that person that you have granted us permission to use the relevant material and you will be responsible for paying any amounts due to the copyright owner or featured person and/or for reimbursing Bauer Consumer Media for any losses it has suffered as a result.