Dear

The Mayor of London has today announced the fares package for 2010 along with the major proposals of Transport for London's (TfL's) Business Plan that will sustain vital investment and protect front line services in the face of huge pressures on TfL's finances.

He has also announced proposed changes to the Congestion Charge scheme, subject to necessary consultations on the Mayor's Transport Strategy and any subsequent Variation Order. These would take effect by from the end of next year, to make it easier for customers to pay the charge and to maintain the benefits of reduced traffic in central London.

This briefing provides further details on:

Fares

The Mayor has acted to ensure that vital improvements to London's transport system continue to be delivered and front line services protected in the face of huge financial pressures on TfL caused by factors including the collapse of Metronet, a recession-linked fall in Tube ridership, and the fares policy of the previous administration.

A top priority for the Mayor has been to cut further TfL's own costs in the light of these pressures. TfL management and staff have responded with a wide range of cost saving and efficiency initiatives and there will continue to be a relentless focus on delivering clear value for fare and tax payers' money. As a result of this, over the next nine years, TfL is delivering savings of over £5 billion through reductions in back office functions, organisational restructuring, more efficient operational arrangements and better deals with suppliers. This includes a 27% reduction in TfL's non-operational overheads by 2012 when compared with today's levels. 

Announcing his plans for Tube and bus fares, the Mayor has protected free and concessionary fares for London's elderly, young people and those on low incomes. 40% of bus passengers will continue to travel free or at a substantial concessionary rate and the Freedom Pass will continue to be valid for travel 24 hours a day on all TfL services. The Mayor also made clear that his approach to fares and investment would bring stability to TfL's financial position.

The fares package for 2010 means that, overall, bus fares will rise by 12.7 per cent and Tube fares by 3.9 per cent.  This is comparable to fare increases introduced in 2005 and 2006, when bus and Tube fares increased by 12.7 per cent and 4 per cent, and then by 12.9 per cent and 3.9 per cent respectively. 

The Mayor's press release can be read here: http://www.london.gov.uk/view_press_release.jsp?releaseid=23978

The full details of the fares package can be read here: http://www.tfl.gov.uk/assets/downloads/TfL_2010_Fares_-_Media_Briefing_Note_151009.pdf

Congestion Charge

The Mayor has also announced proposals for a number of changes to the Congestion Charge (CC) scheme subject to the necessary consultations on the Mayor's Transport Strategy and any subsequent Variation Order, designed to make it easier for customers to pay the charge and to avoid paying fines and to maintain the benefits of reduced traffic in central London. These are as follows:

The Mayor's press release can be read here: http://www.london.gov.uk/view_press_release.jsp?releaseid=23979

TfL Business Plan

While all of the major schemes to deliver increases in transport capacity and reliability go ahead, the Mayor also set out further steps which are included in the TfL Business Plan, which are to be considered by the TfL Board next week. These include the deferral by three years of all remaining former Metronet Tube station renewals, the work to upgrade Victoria Tube station now to be complete in 2018, available resources for step-free access schemes on the Tube targeted at the stations where they can deliver the greatest benefit for the largest number of passengers, and some limited bus service reductions, and minor reductions in service on a few sections of the Tube, to reflect changes in passenger demand.

On step-free access, this means that work at key strategic stations - Green Park, Kings Cross, Tottenham Court Road and Bond Street - will continue. However, projects where work is not already underway, or has only recently commenced, will be deferred at Osterley, Greenford, West Kensington, Amersham, Ladbroke Grove and Newbury Park.

TfL will seek to increase the accessibility of the Tube over time, building on the foundation of 58 step-free stations already in place. As well as step-free access, features such as induction loops, tactile paving and additional and more visible help and information points are being added to stations as modernisations and refurbishments are completed. London Underground is also replacing and refurbishing its train fleet, an important element in increasing accessibility.  

TfL is committed to providing a strategic, accessible transport network. All of London's 8,000 buses are fully low floor accessible, that's around 700 routes covering the entire 1579 sq km Greater London area; all of London's 21,000 black cabs have wheelchair ramps; and all stations and trains on the Docklands Light Railway network are fully accessible.  

We will write to you with a copy of the new Business Plan as soon as it is finalised.  

Please contact me if you have any queries or would like further information.

Kind regards

David McNeill