Full details of Government’s £1.6 billion TfL bailout revealed

The seven-page letter includes a list of demands in return for the £1.095 billion grant and £505 million loan
PA

Full details of the Government’s £1.6 billion bailout for Transport for London were published today as a row raged about the temporary withdrawal of free travel for schoolchildren and during the morning peak for over-60s.

TfL made public the seven-page letter sent by Transport Secretary Grant Shapps to Mayor Sadiq Khan on May 14 that includes a list of demands in return for the £1.095 billion grant and £505 million loan.

This reveals that Mr Khan had to “urgently bring forward proposals to widen the scope and levels” of the congestion charge — though it did not say by how much.

Mr Khan has faced a backlash after announcing plans to hike the charge from £11.50 to £15 from June 22, and to extend its hours from 6pm to 10pm and levying the charge at the weekend.

The letter also tells TfL to temporarily suspend free peak-hours travel for Freedom Pass and Over-60s Oyster card holders and “the suspension of free travel for u18s”. The Mayor was also told to confirm that he would impose a fares increase from next January equal to the RPI rate of inflation plus one per cent.

About 30 per cent of London schoolchildren are legally entitled to free travel, because of special needs, poverty or the distance they live from school.

City Hall sources said the letter “showed in black and white” that Londoners were being punished for obeying the lockdown. London Councils, which represents the 33 boroughs, said today the deal “imposes a significant new burden on London local authorities in terms of school travel statutory obligations”.

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