More delays on the line for Tube PPP

6 Dec 01
Senior management at London Underground conceded this week that final contracts on the public-private partnership for the Tube, already two years late, could be subject to further delays.

07 December 2001

Paul Godier, LU's managing director, said meeting the April 2002 deadline to get the PPP up and running would prove 'very tight'. Godier said safety fears were almost certain to cause further slippage in getting the scheme started.

His comments came less than a week after Bob Kiley, the transport commissioner for London, made similar claims before a select committee of MPs at the House of Commons.

The delays could have further repercussions for funding. So far, there has been no decision on the level of government funding the Tube will receive next year as ministers expected the PPP to be operating by now. For the current year, London Underground received £520m in state funding.

The latest setback comes amid fears that fewer and fewer passengers will use the transport system over the next year.

Godier claimed that the Tube would lose millions of pounds in fare income in the next 12 months as tourists continue to stay away from the capital after September 11 and suburban residents shun central London.


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