End of the one day bus pass...
Mayor takes action to sustain vital investment and front line services for London transport network
This press release was originally issued by the Greater London Authority press office under reference GLA/2009/518.
- TfL finances hit hard by PPP firm Metronet and falling Tube passenger numbers
- Focus on value for money delivers large savings at TfL
- Mayor protects elderly, young people, those on low incomes and reaffirms commitment to tackle delays and overcrowding on the transport system
Mayor of London, Boris Johnson today acted to ensure that vital improvements to London's transport system continue to be delivered and front line services protected in the face of huge financial pressures on Transport for London (TfL) caused by factors including the collapse of Metronet, a recession-linked fall in Tube ridership, and the fares policy of the former administration.
Announcing his plans for Tube and bus fares, the Mayor said he had protected free and concessionary fares for London's elderly, young people and those on low incomes. 40% of bus passengers will continue to travel free or at a substantial concessionary rate and the Freedom Pass will continue to be valid for travel 24hrs a day on all TfL services. The Mayor also made clear that his approach to fares and investment would bring stability to TfL's financial position, in sharp contrast to the damaging volatility and uncertainty brought about by the previous administration's approach.
The fares package for 2010 means that, overall, bus fares will rise by 12.7 per cent and Tube fares by 3.9 per cent. This is comparable to fare increases introduced in 2005 and 2006, when bus and Tube fares increased by 12.7 per cent and 4 per cent, and then by 12.9 per cent and 3.9 per cent respectively.
The Mayor also set out changes to the operation of London's Congestion Charge Scheme, including plans to make it easier to pay and avoid penalty charge notices through the introduction of payment on account in 2010.
The Mayor said:
"Nobody wants to make an announcement like this, especially when Londoners are feeling the effects of the recession. It is not a decision that I have taken lightly. Indeed, I have been persuaded of the need for fare rises only after ensuring that every efficiency possible, at least £5 billion in total, is being made at TfL.
"However the mistakes of the past and the current economic climate have conspired to present us with a huge challenge. The crucial thing is that we safeguard the investment in our city's future and that's why I'm asking Londoners to accept this difficult decision. With this package we can protect the elderly, the young, the poorest, and disabled Londoners, and can go forward to deliver the vital improvements that Londoners deserve - including Crossrail, the upgrade of eight Tube lines, new trains, the cycling revolution, and a host of other improvements ahead of the 2012 Games.
"I know that Londoners value hugely the expansion of, and improvements to, the buses and Tube and the free or concessionary fares available for many passengers. I share that view. Yet it is now clear to everyone that the era of ever-rising funding from the taxpayer is now firmly at an end. I will need to take this into account when it comes to setting fares in future years. But I am determined to ensure that fares in London will continue to deliver excellent value for money, particularly when compared to the fares charged in other UK cities."
The full fares package is set out separately, but the main elements are:
- Oyster pay as you go bus fare from £1.00 to £1.20
- A seven day bus pass from £13.80 to £16.60
- On the Tube, the Zone 1 Oyster pay as you go fare from £1.60 to £1.80
- Most other Oyster pay as you go fares on Tube also increase by 20p, with larger increases in some longer distance peak fares
- While there is no set formula by which fares are decided, TfL's planning assumption will be that fares will rise RPI+2% each year. However, the actual level of fares will be decided by the Mayor
- The vast majority of Travelcard prices will be frozen across the network
- By using Oyster, Londoners will continue to receive best value single journey and daily prices across the TfL network, including the daily price cap
- Plans to ensure Oyster, including pay as you go, can be used on all national rail services within Greater London are progressing, and the Mayor expects to be able to make an announcement on this shortly
While all of the major schemes to deliver increases in transport capacity and reliability go ahead, the Mayor also set out further steps which are included in TfL's Business Plan, which is to be considered by the TfL Board next week. These include the deferral by three years of all remaining former Metronet Tube station renewals, the work to upgrade Victoria Tube station now to be complete in 2018, available resources for step-free access schemes on the Tube targeted at the stations where they can deliver the greatest benefit for the largest number of passengers, and some limited bus service reductions, and minor reductions in service on a few sections of the Tube, to reflect changes in passenger demand.
Notes to editors:
- The full fares package is set out in the accompanying TfL 2010 Fares - Media Briefing Note (PDF 65KB), but see below key facts and figures on London average fares, including comparisons with previous years and other major UK cities
- Around 40% of London's bus passengers will continue to travel free or at a substantial concessionary rate. Average bus fares will remain around 10% lower in real terms than in 2000 and continue to be materially lower when compared to other major cities in the UK. Even allowing for the rise in 2010, TfL calculates that the average price paid per bus trip in London will be 69 pence (excluding all free travel inc. for the young and elderly), compared to an average of up to 98p pence for other major UK cities. Weekly London Bus Pass holders in practice make nearly 30 bus trips a week and so will pay around 60p for each trip. This remains good value for money for one of the most comprehensive, frequent and accessible bus services anywhere
- The average TfL fare paid per bus trip is calculated by comparing all ticket types - including Oyster PAYG, single cash fares Bus Pass seasons and Travelcards - with total bus passenger numbers
- Both TfL and UK average fares exclude all free travel. The UK average bus fare has been calculated using the average UK Passenger Transport Executive fares at 2006/7 prices published in the 'Public Transport Statistics Bulletin', and then factoring for inflation in subsequent years
- The new fares package will preserve the vast improvements that have been made on the bus service, while also tackling the ever-escalating, and ultimately unsustainable, level of taxpayer subsidy which has risen from £24m in 2000 to £602m in this financial year
- Passenger numbers are up by 64% since 2001 to well over 2bn, their highest levels since the 1960s. The Mayor is determined to maintain improvements to the network, on which many Londoners rely, while bringing public subsidy of the bus network back under control. However, any further improvements to the bus network will only be implemented through efficiencies delivered elsewhere
- On the Tube, public subsidy has grown to around £700m whereas Tube fares have increased by only 5% in real terms since 2000 and are cheaper when the rise in average earnings is taken into account. The current Zone 1 Oyster pay as you go fare at £1.60 is the same as the single cash fare in 2000. At the same time, passenger numbers have risen to over one billion a year and an unprecedented programme of renewal and improvement is underway
- TfL has now more than doubled its savings to a total of £5bn over the period to 2018 and TfL's management are now working on detailed plans to deliver this
- Changes to the London Congestion Charge Scheme are detailed in the accompanying press release
Mayor outlines Congestion Charge overhaul
This press release was originally issued by the Greater London Authority press office under reference GLA/2009/517.
- New automated payment system proposed to make it easier to pay the Charge
- An end to fines for those who opt in
The Mayor of London, Boris Johnson, today honoured his election pledge to make the Congestion Charge fairer and easier as he announced plans for a number of changes to the scheme next year.
Proposals include the introduction of an automated account system to make it easier for customers to pay the charge and to avoid having to pay fines, and an increase in the Congestion Charge designed to maintain the benefits of reduced traffic in central London.
These measures would sit alongside the proposed removal of the Western Extension of the Zone and a range of mitigation measures, and would all be introduced by December 2010 subject to legal processes.
The proposed changes, subject to the necessary consultations on the Mayor's Transport Strategy and any subsequent Variation Order, are as follows:
- Removal of the Western Extension of the Congestion Charging zone
- Introduction of automated payment account system, provisionally entitled CC Auto Pay
- Increase of the daily charge to £9 for CC Auto Pay customers
- Increase of the daily charge to £10 for customers who do not take up CC Auto Pay and continue to pay through existing payment channels
- Removal of the £1 fleet discount so that fleet operators will pay the same per vehicle as customers using CC Auto Pay
Mayor of London, Boris Johnson said: "I pledged to make the Congestion Charge fairer and easier to pay and these measures will make that a reality. Once introduced, drivers registering for CC Auto Pay can rest assured they'll never receive a penalty charge again.
"The proposed increase in the Charge will ensure that the system remains effective in controlling traffic levels in central London, and the revenue will also help us fund the vital improvements to London's transport network that all Londoners want to see."
The automated payment account system will mean that motorists who register for an account can pay the Congestion Charge by debit or credit card, or by Direct Debit and avoid the possibility of ever receiving a penalty charge. The new system, provisionally entitled CC Auto Pay, would calculate the number of journeys a vehicle makes within the zone each week, and debit customers' accounts on a weekly basis. Motorists who continue to use existing payment methods would be charged £10 per day."
Should they go ahead, these proposed changes would come into effect by December 2010. This is to allow for the necessary public and stakeholder consultations and the other statutory processes involved, and to ensure Transport for London (TfL) can introduce all the changes at the same time and put in place mitigation measures should the Western Extension be removed (see Notes to Editors for more detail on these and on the consultation process).
Notes to editors:
- The Congestion Charge is currently £8 per day.
- Operators of fleets with ten or more vehicles can currently apply for a fleet discount, in which they receive a £1 discount on the £8 charge. The new automated payment system would enable everyone to share the reduced hassle of automated payment currently enjoyed only by larger fleet operators.
Proposed Removal of the Western Extension of the Congestion Charge by December 2010:
- The Mayor has made clear he is minded to remove the Western Extension of the Congestion Charge zone, following overwhelming public support during a consultation on it in 2008. Earlier this week (Monday 12 October), a three month public and stakeholder consultation began on the Mayor's revised draft Transport Strategy. This includes a proposal to remove the Western Extension and sets out his reasons supporting the proposal.
- The Mayor will carefully consider all representations received in response to that consultation, and will comply with his legal obligations before making a decision on the removal of the Western Extension. The final version of the Transport Strategy is due to be published in spring 2010.
- If the Mayor decides to remove the Western Extension, then a variation order to the Congestion Charge scheme will be made by TfL. Further statutory public consultation will then take place on the detail and the Mayor will decide whether or not to confirm its removal (as originally proposed or modified).
Mitigation measures for removing the Western Extension:
- TfL will seek to minimise the impact of removing the Western Extension of the Congestion Charge zone. A number of schemes are being introduced or have been proposed, which should help to keep traffic moving in west London. These include:
- TfL intends to install SCOOT (Split, Cycle and Offset Optimisation Technique), at 51 junctions within the Western Extension Zone. SCOOT is a highly sophisticated method of traffic control using sensors buried in the road to change traffic signal timings according to current traffic demand. These should all be operational by the end of 2010.
- Re-phasing of traffic signals to get traffic flowing more smoothly, without affecting the safety of pedestrians and vulnerable road users. Benefit is being derived from improvements to the co-ordination of adjacent signals which reduces the amount of stopping and starting between traffic signal junctions.
- The introduction of the London Cycle Hire scheme in summer 2010 will encourage more people to cycle in London.
- The proposed London Permit Scheme, awaiting approval from the Secretary of State, has the potential to significantly improve the management (and therefore reduce the impact) of roadworks in the area.
- Almost every school in the Western Extension area will have a school travel plan in place by the end of 2009. TfL is also working with a number of businesses in the area to develop workplace travel plans.
Future of Greenwich to Woolwich Arsenal river service guaranteed until 2013
The service is proving to be an increasingly popular alternative
Transport for London (TfL) today announced that it has agreed to continue subsidising the Thames Clipper river service between The O2 in Greenwich and Woolwich Arsenal.
The deal, which will be jointly funded by TfL and Greenwich Council, is worth £269,000 over four years.
The funding means that the current levels of service between the QEII and Woolwich Arsenal pier will be maintained.
Thames Clippers has served the Woolwich Arsenal pier since June 2005.
New deal
The route was originally subsidised by TfL, Greenwich Council and Berkeley Homes, however, this contract ended in January 2009.
Following discussions between TfL, Greenwich Council and Thames Clippers, a new deal has been agreed which has secured the river service until 2013.
Kulveer Ranger, the Mayor of London's transport advisor, said: 'The Mayor's River Concordat group is working hard to maximise the use of the Thames to move Londoners around our city.
'The latest example being the good news that this important service will continue for a further four years.'
Frequent and relaxing
Mike Weston, Manager Director of London River Services, said: 'The Thames Clipper commuter service has grown in popularity over the last few years.
'This deal to secure the future of the service to Woolwich Arsenal pier means that Londoners can continue to benefit from a fast, frequent and relaxing service to and from the centre of London.'
Cllr Chris Roberts, Leader of Greenwich Council, said: 'Greenwich Council's Clipper campaign earlier this year showed the strength of support that exists locally for a regular riverboat service.
'The service is proving to be an increasingly popular alternative with commuters and I'm delighted that Greenwich Council and TfL have been able to attract the funds to keep this service running to Woolwich for a further four years.
Long-term benefit
'Greenwich Council will continue to work for improved public transport links, which bring long-term benefit to the local economy, and which are vital to the borough's ongoing regeneration.'
Sean Collins, Managing Director and founder of Thames Clippers, commented: 'Thames Clippers is delighted that an agreement has been reached to ensure our current service to Woolwich will continue.
'We have always respected the development possibilities in this area and beyond into the Thames Gateway for fast ferry service to central London.
'This support by TfL and Greenwich Council will enable us to further demonstrate the potential Thames Clippers has in the future of London's transport network.'
For further information about river services in London, visit www.tfl.gov.uk/rivers
Find out more about Thames Clippers
Notes to editors:
- London River Services, a division of Transport for London, owns and operates eight passenger piers along the River Thames between Millbank and Greenwich and is responsible for integrating London's river transport services with the rest of the city's transport network
- Since its creation in 2000, TfL has invested in promoting and expanding river services in London, with passenger numbers for 2009 currently up 11 per cent compared to 2008
- Thames Clippers is the fastest commuter river boat service on the Thames, running a 20-minute frequency between key London piers
- Between January 2009 and October 2009, additional support, split equally by TfL and Greenwich Council, was paid to Thames Clippers to maintain the service while discussions regarding the subsidy were ongoing
- Greenwich Council's contribution to the subsidy is drawn from sums that were paid to the Council under legal agreements by two housing developers - these were ringfenced for public transport improvements. In addition to the cash subsidy, Greenwich Council is also supporting the Clipper service by continuing to provide free use of the pier at Woolwich Arsenal
- In April 2009, the Mayor of London signed a River Concordat with a number of boat operators along the Thames to help promote river services in London. As part of this agreement, TfL is working with Thames Clippers to introduce pay as you go Oyster on its passenger river services by late 2009