TfL bailout extended by four months

Funding to keep the public transport system running in London has been extended until June.

The government has agreed to continue the bailout for Transport for London (TfL) while they work out a deal to secure long-term funding.

TfL’s income, mainly from fares, has plummeted due to the Covid-19 pandemic.

The Department for Transport (DfT) said the latest deal was worth about £200m, taking the total support given by the government close to £5bn.

A bailout was first agreed with the government in May 2020 and has been extended by differing lengths of time ever since.

Mayor of London Sadiq Khan said he was relieved the latest funding deal had been secured, but added that TfL needed more money in the long-term.

He said: “This agreement makes reference to future capital investment for TfL. But it’s essential that this quickly turns into a concrete commitment from the government.

“The only way we will be able to avoid significant and damaging cuts to Tube and bus services is if the government steps up and provides the longer term capital funding TfL urgently needs.”