Byers attacked over tube letter
Transport secretary Stephen Byers, already under fire over the manner in which he handled the collapse of Railtrack, is again facing public criticism for a leaked letter promising increased tube financing.
Transport secretary Stephen Byers, already under fire over the manner in which he handled the collapse of Railtrack, is again facing public criticism for a leaked letter promising increased tube financing.
In correspondence leaked to the Guardian, Byers told London Underground’s (now outgoing) finance director Patrick Butcher in June that government support for the tube would grow from Pounds 104m to Pounds 520m.
This was despite knowing that this was substantially less than the Pounds 775m promised by deputy prime minister John Prescott prior to Labour’s landslide victory at the polls.
In response, Butcher accused the government after a ‘major U-turn’ and expressed his concern at its impact on tube safety. Under the new funding arrangement safety initiatives would get Pounds 30m less than originally promised, while Pounds 72m would come off the budget for station maintenance.
Butcher wrote back warning: ‘The reliability of the train service would suffer. Critical safety and asset health expenditure will be deferred.’
Yesterday, officials representing the transport secretary described the differences as ‘normal bargaining’ during the spending round.
They said the 2001/2002 grant represented a significant cash increase on the Pounds 267m allocated in the previous financial year and claimed the grant even allowed ‘some improvements’.
Links
Bloom denies Railtrack conspiracy
In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...
View resourceIn recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...
View resourceIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceThe first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...
View resourceThe ICAEW confirms new vice president, with senior heads appointed at KPMG and EY. Within the mid market, a flurry of end of year partner appointments...
View articleThis follows an investigation into undisclosed personal loans and issues with an acquisition. Despite challenges, the company aims to achieve £1bn in ...
View articleThe ICAEW confirms new vice president, with senior heads appointed at KPMG and EY. Within the mid market, a flurry of end of year partner appointments...
View articleThere is optimism that the IPO market will rebound in the second half of 2024, driven by pent-up demand and potential improvements in economic conditi...
View articleThe ICAEW confirms new vice president, with senior heads appointed at KPMG and EY. Within the mid market, a flurry of end of year partner appointments...
View articleKPMG confirms reappointment of it's UK chair, while EY announces Janet Truncale as the next EY global chair and CEO Read More...
View articleThe ICAEW has announced the appointment of its forthcoming chief executive Read More...
View articleThe FRC has announced Richard Moriarty as its new chief executive, replacing Sir Jon Thompson Read More...
View article