Livingstone prepares to take over Tube management

30 Jan 03
London Mayor Ken Livingstone is on the point of sealing a deal with the government to transfer the London Underground to his control, after a prolonged dispute over a possible £1.5bn funding gap in the public-private partnership deal for the network.

31 January 2003

Livingstone, who intends to make managerial changes after the Tube is handed over to his Transport for London, tabled an appeal on January 27 to the European Court of Justice over alleged improper state aid.

The appeal gives Livingstone a continued lever over the government in negotiations over the funding gap, but it was described by TfL as 'a procedural matter' and could be quickly withdrawn in the event of agreement on the transfer.

In December, Transport Secretary Alistair Darling gave indemnities to the PPP consortiums Metronet and Tube Lines to protect them against the cost of further delays due to any legal action.

The mayor's spokeswoman said: 'Good progress has been made in negotiations with the government over the transfer. Final details are still being worked out.'

The discussions continued as controversy raged over safety on the Tube after the derailment of a Central Line train on January 25, thought to have been caused by a motor working loose, which injured more than 30 passengers. The incident brought chaos to the capital's commuters this week as the line remained closed.

The London Assembly has launched its own inquiry into the accident.

PFjan2003

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