Transport for London’s (TfL) funding agreement with the government has been rolled over by a week.
The transport agency has been reliant on a series of short-term funding agreements with the government after losing much of its fare income during the pandemic.
A new deal was supposed to be agreed today (Saturday December 11), but has now been pushed back to next Saturday (December 17).
Mayor Sadiq Khan has warned that much of London’s transport services and infrastructure funding could be cut without billions of pounds more investment from the government. That includes investment in extending the Bakerloo Line, which is crucial to Southwark’s development plans along the Old Kent Road, but which now looks an unlikely prospect for decades to come.
It also includes funding for upkeep of the Rotherhithe Tunnel, which transport chiefs have warned could be forced to close without £120m of investment.
A Transport for London (TfL) spokesperson said: “We continue to discuss our funding requirements with the Government, who have today indicated their intention to extend our funding support for TfL through until 17 December 2021.
“There is no UK recovery from the pandemic without a London recovery and there is no London recovery without a properly funded transport network in the capital. We hope the discussions can be successfully concluded soon.”
The Department for Transport said that it has provided TfL with about £4bn in funding since the start of the pandemic, but declined to comment on the current status of talks.