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End of TfL's journey to a public-private paradise?

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Tom Edwards Tom Edwards | 11:25 UK time, Saturday, 8 May 2010

Maintenance on the Underground

So finally the beginning of the end for Gordon Brown's controversial Public Private Partnership.

It's being hailed as a good deal for passengers and tax payers.

The big question will be how Transport for London affords the £310 million to buy the shares. Its budget is already being squeezed. And previously it had said it couldn't afford a £400million funding gap in the PPP.

TfL says it will be able to make efficiencies on the work and is "confident of generating substantial savings" - but that will be tough as the official in charge of the PPP has already found previously London Underground costs were far higher than Tube Lines.

However, the Mayor's Office also says it can also cut out middle management fees and reschedule the debt at a better rate.

For passengers it also says the number of weekend closures for example on the Northern Line will be cut from 84 to 12.

Supposedly the deal had been worked on for two weeks but couldn't be announced due to election "purdah" rules and it was only signed by all parties late last night.


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