A MAJOR ratings agency has downgraded Transport for London’s (TfL) debt due to the “uncertainty” of its long-term funding, in a further sign of the financial difficulty the operator finds itself in.
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How much is Transport for London in debt?
As for borrowings, TfL had just under £13 billion in debt at the end of March 2022, and TfL is allowed to borrow up to £14.5 billion if needed, however, borrowing can only be used for capital investments so won’t fill the gap between TfL’s costs and its income as we recover from the pandemic.
Does Transport for London make a profit?
Transport for London passenger income 2015-2022
Overall, TfL generated revenue worth 3.2 billion British pounds from all the services in the financial year 2021/22.
Why is TfL out of money?
TfL, which had been on course to break even in running costs in 2023, had its finances thrown into disarray by the pandemic, being required to provide a public transport service while its fares income that it depends on was almost entirely wiped out.
Is TfL not for profit?
Transport for London (TfL) is a not-for-profit organisation. Our purpose is to keep London working, growing and to make life in London better.
Do taxpayers fund TfL?
We receive grants from the Government and the Greater London Authority. These grants are used to fund both operating costs and investments. In line with the Government’s devolution strategy, a proportion of our grant funding comes from local business rates raised under the business rates retention scheme.
Does London Subsidise the rest of the UK?
Public sector expenditure
In FYE 2020, London accounted for the most expenditure at £131.2 billion or around 15% of the UK total. However, when considering population, Northern Ireland and Scotland received the most expenditure per head, £15,910 and £15,070 respectively.
Is Transport for London a monopoly?
On the one side there were Metronet Railways and Tube Lines, the companies that ran London’s underground railway lines, and on the other side there was their customer, Transport for London (TfL), who are a monopoly supplier of most of London’s railway and other transport services.
Who is TfL funded by?
Grants are received from central and local government. The main sources are: Business Rates Retention – funded from a proportion of local business rates and paid to us from the GLA. This is the largest source of grant income to TfL.
Is TfL government owned?
TfL is a statutory body created by the Greater London Authority (GLA) Act 1999. This Act gives the Mayor of London a general duty to develop and apply policies to promote and encourage safe, integrated, efficient and economic transport facilities and services to, from and within London.
What happens if TfL goes bust?
Section 114 is part of the Local Government Finance Act 1988, which means TfL would have to stop any spending which has not already been accounted for. It wouldn’t be able to do any new business and would only be obliged to run what the law says it has to.
What happens if TfL Cannot take money?
If this happens: You will not be able to apply for a refund and will need to contact your card issuer as your card was not approved to travel. You won’t be able to use your card for travel until you have paid the unpaid fare bank statement up to 30 days after you travelled.
Is the Oyster card being phased out?
It follows a 2021 funding deal between the government and TfL that is set to see the 60+ Oyster Card gradually phased out until the concession disappears entirely next decade.
Are TfL in trouble?
TfL has been operating on a series of emergency short-term funding deals since falling into financial trouble during the pandemic. Andy Byford, London’s Transport Commissioner, said the long-term funding – if agreed – would provide much-needed certainty for those in the nation’s capital.
Is TfL a good company?
A great company, with great benefits. Really good working culture and employees are taken care of.
Is TfL ethical?
TfL’s ethical values and vision
TfL aims to conduct its business with honesty and integrity and expects employees to maintain the highest ethical standards. TfL recognises the obligations it has towards the community as a whole, its employees, its partners, suppliers and all others with whom it interacts.
How much do TfL contribute to pension?
Compared with the private sector and other parts of the public sector, the Transport for London pension scheme is generous. Members contribute up to five per cent of their salary – while TfL contributes 6.66 times this amount, a sum equal to 33 per cent of their pay packet.
How much do Tube drivers earn?
The typical London Underground Train Driver salary is £62,714 per year. Train Driver salaries at London Underground can range from £59,000 – £64,561 per year. This estimate is based upon 15 London Underground Train Driver salary report(s) provided by employees or estimated based upon statistical methods.
Can TfL workers detain you?
They do not have the power to detain. Officers would not use these powers in their day to day work.
Is Scotland in debt to England?
Despite devolution, the majority of Scotland’s tax revenues and a hefty part of its public spending is pooled with the rest of the UK. This means that there is no overall Scottish budget deficit or surplus, or accumulated debt.
Who has more money England or Scotland?
England’s economic output is significantly higher than Scotland’s, but the Scottish GDP of £200 billion per year is a lot by anyone’s standards. England would not be richer without Scotland.