Coronavirus: Transport for London bailout extended until May

Transport for London (TfL) has accepted a government bailout extension until 18 May.

A further £260m in will be provided over the next seven weeks, plus another £225m dependent on fares income.

The collapse in passenger numbers during the pandemic has decimated TfL's finances and government funding was required to keep services running.

A £1.6bn bailout was agreed in May, followed by a £1.8bn deal in November, which expires at the end of March.

A Transport for London (TfL) spokesperson said: 'We have today agreed with the government that our funding will be extended until 18 May on the same terms that have applied to our funding for the second half of 2020-21.

"We continue discussions with the government on our need for further financial support and a long-term capital funding deal. This is vital for us to support a strong and robust recovery from the pandemic and to provide confidence to our UK-wide supply chain."

Mayor of London, Sadiq Khan, said: "This seven-week extension will enable TfL to carry on running the safe, reliable and frequent services that will be vital as lockdown restrictions begin to ease.

"These discussions will continue as it is essential that TfL has further financial support and a long-term capital funding deal that will allow it to support a strong and robust recovery for London and the UK."

A Department for Transport spokesman said the government was committed to supporting London's transport network though the pandemic.

"The road map set out by the Prime Minister to cautiously and safely reopen society and our economy means we can better understand the potential recovery in passenger demand, ensuring we deliver a sensible and appropriate deal in the future," the spokesman added.