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LONDON’S BUSINESS NEWSPAPER ISSUE 3,808
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TIME TO MOVE ON GOVERNMENT FINALLY SIGNS FUNDING DEAL FOR TRANSPORT FOR LONDON MAYOR PLEADS WITH TORY CANDIDATES TO DITCH “ANTI-LONDON AGENDA” “THE NEXT PM MUST LEAD A GOVERNMENT THAT IS LESS DIVISIVE,” SAYS KHAN
EXCLUSIVE
ANDY SILVESTER AND ILARIA GRASSO MACOLA SADIQ KHAN last night urged the next Prime Minister to stop “playing London off against other parts of our country for political gain” as Liz Truss and Rishi Sunak go head-to-head in their final hustings in London this evening. The Mayor of London’s comments came just hours after City Hall struck a deal with central government that guarantees funding for Transport for London until spring 2024 – ending fears of widespread bus and tube service cuts.
The deal comes after two years of what TfL commissioner Andy Byford last night called “sticking plaster” funding packages. City A.M. understands that the Mayor and TfL knocked back a so-called ‘final’ deal from government three times before Byford was able to recommend the deal to the transport body’s board yesterday. The TfL negotiations had become an emblem of an almost total breakdown in relations between City Hall and central government over recent years. Last night Khan told City A.M. that “Londoners have been badly let down by the most anti-London government in
modern times,” saying that outgoing PM Boris Johnson’s administration had “scapegoated” the capital “as a source of all our country’s ills”. In a change of tone towards central government, the Mayor called on Truss and Sunak to “leave their party’s damaging anti-London agenda behind and to support London, our business community and our public services.” The transport deal will see TfL receive £1.2bn of base
funding and will support almost £3.6bn worth of projects. City A.M. understands that City Hall and TfL managed to secure an additional £78m of funding as well as important concessions around capital expenditure. TfL’s funding gap remains in the region of £300bn and last night Byford told City A.M. that despite the “tenacious fight” over recent weeks there would be still be “tough choices ahead.” Khan said yesterday that fare rises and some
service cuts were still possible. City Hall sources suggested that language in the deal around pensions, though softened from previous iterations of the deal, would most likely lead to further industrial action on the network. Despite the strings attached, Byford said it was a “good and fair” deal that allowed the network to move ahead with confidence”. Transport secretary Grant Shapps said the settlement “more than delivers for Londoners” and that central government had “time and again shown our unwavering commitment to London”.
Reset of relations between City Hall and Whitehall vital for London – and the country
T
HAT the farcical fights over Transport for London have dragged on this long tells us everything we need to know about Westminster’s relationship with London. When Boris Johnson was elected it was a mandate of “levelling up” a victory which often made our capital city, and the south east in general, a useful political punching bag. But next Monday will spell a new
dawn when the next leader of the Conservative Party is finally announced. All sides – including City Hall – must put aside the tensions which have characterised a relationship which could and should be beneficial to both sides. This evening, Rishi Sunak and Liz Truss will bring their hustings back to London and when they do so they must spell out exactly how they plan to reset the bonds between SW1 and City Hall – and
THE CITY VIEW demonstrate they understand the capital’s needs. First, there must be an emergency package for small businesses, from pubs and hairdressers to boutiques and theatres. All make the capital a global city – all are at risk from
rising costs. At the other end of the scale, our financial services and fintech firms cannot wait any longer for post-Brexit reforms to be finalised and implemented. The anti-London rhetoric must also come to an end. London is the UK’s golden goose – but it has problems that cannot be ignored simply because they are happening here, not in Hull. When London succeeds, so does the UK. Finally, we must redefine what it
means to “take back control” of our immigration system with more relaxed rules to keep the best talent coming to our shores. Old divisions must not rule our future and prevent us from seeing what works and what doesn’t. London has grown and prospered off the back of industrious types from Hartlepool to Hyderabad, from Birmingham to Brisbane – and benefited the rest of the world in kind.
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