The statement made by Grant Shapps, the Secretary of State for Transport, in the House of Commons on 7 February 2022.
Following my statement to the House on 5 January 2022, 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 2 weeks to 18 February 2022. 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 TfL.
We have recognised the reliance of London’s transport network on fare revenue and government continues our commitment to mitigating loss of fare revenue because of the pandemic.
Government is committed to supporting London’s transport network as we have since the start of the pandemic and is 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 TfL has always been on the condition that TfL reaches financial sustainability as soon as possible and with a target date of April 2023, and government continues to press the Mayor of London and TfL 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.