Press Release

“A multi-year deal is best for London and the UK” – RIA writes open letter to Transport Secretary and London Mayor on TfL funding

17 June 2022

The Railway Industry Association (RIA), which represents over 300 rail businesses around the UK, has written an open letter to the Transport Secretary Grant Shapps and Mayor of London Sadiq Khan, urging both sides to come together and agree a multi-year funding deal for Transport for London (TfL) as soon as possible.
 
In the letter, RIA states that the current short-term approach to TfL funding ‘not only impacts services, but it also hits jobs, skills, innovation and investment around the UK’, and calls for a multi-year settlement to support vital upgrades to the capital’s transport network. It also acknowledges the support from the Government and TfL during the last two years, but stresses that funding certainty now will not only help passengers in the future, but provide the best bang for the taxpayers’ buck and give businesses the certainty they need to invest in the necessary skills and capabilities.  
 
This comes just one week before the existing four-month funding deal expires, on Friday 24 June. 

Darren Caplan, Chief Executive of the Railway Industry Association (RIA), commented: “There have been ten stop-gap funding extensions to London’s transport spending in the last two years. Clearly, this is no way to run a transport system, as it harms TfL’s ability to plan for the future, causes real uncertainty for businesses in the supply chain, and results in worse value for money for the taxpayer. As passengers come back to the railways post-Covid, and as London seeks to thrive once again, it is essential its transport network is properly funded for the years ahead. 
 
“So instead of a stop-gap approach, we in the railway industry urge the Government and TfL to now agree a properly funded multi-annual deal to ensure that necessary rail upgrades – for example Piccadilly line signalling or new trains for the Bakerloo line – can go ahead, ultimately for the benefit of passengers.

“Everyone of course recognises the welcome support the Government provided to keep the railways moving during the pandemic, and the current economic challenges we face today. However, this is about planning for a brighter future and upgrading the current network, whether that is improving signalling, procuring new trains or launching major projects, all of which will be needed to meet demand. This investment also helps drive economic growth both in the capital and nationally, with jobs and opportunities in a supply chain which touches every part of the UK. 
 
“The Elizabeth line is a great example of what the industry is capable of and we should rightly celebrate its success. It is now up to the Mayor of London and Transport Secretary to come together and agree that multi-year funding settlement for TfL. With the right investment, London’s rail network can continue to provide clean, affordable and accessible transport to the many millions who live and travel through the capital every day.”

Notes to Editors
  1. Transport for London’s current funding deal expires on Friday 24 June. 
  2.  In recent comments on the opening of the Elizabeth line, RIA has further highlighted the wide supply chain which supports transport in London, including train manufacturing in Derby, signalling from Stockport and Chippenham, station construction from the East Midlands and telecoms and electrification expertise from London. 
  3. About RIA: The Railway Industry Association (RIA) is the voice of the UK rail supply community. We help to grow a sustainable, high-performing, railway supply industry, and to export UK rail expertise and products. RIA has 300+ companies in membership in a sector that contributes £43 billion in economic growth and £14 billion in tax revenue each year, as well as employing 710,000 people. It is also a vital industry for the UK’s economic recovery, supporting green investment and jobs in towns and communities across the UK; for every £1 spent in rail, £2.50 is generated in the wider economy. RIA’s membership is active across the whole of railway supply, covering a diverse range of products and services and including both multi-national companies and SMEs (60% by number). www.riagb.org.uk