TfL funding deal extended until May 28

The Government and the Mayor of London have agreed to extend the current Transport for London (TfL) funding deal.

The deal was due to expire on May 18, but the extension will continue to support the capital and the transport network until May 28 on the same terms.

A spokesperson for the Department for Transport (DfT) said the extension would provide ‘certainty’ while it finalises the terms of the next funding deal which aims to get TfL onto a ‘more financially sustainable footing’.

The extension comprises an additional funding payment of £65 million with a top up grant available based on actual passenger revenues.

Since the start of the coronavirus pandemic, the Government said it has provided more than £3 billion emergency funding to help support the running of essential services across London.

The DfT said support for London needs to be 'balanced' with the national recovery and 'ensure fairness and value for money for the taxpayer'.

Government will continue to work with TfL and the Mayor to ensure it can be 'financially sustainable as soon as possible', it said.

A TfL spokesperson said: "We continue to discuss our funding requirements with the Government and hope these discussions can be concluded successfully soon, to enable a strong and robust recovery from the pandemic.  

'We have agreed with the Government that our existing funding agreement will be extended until May 28 so that these constructive discussions can be concluded."

The original funding deal was due to run out on March 31.