Mayor announces fair and affordable fares package to sustain massive investment in London's transport

Elderly to benefit from 24hrs Freedom Pass

New Income Support Scheme and off-peak fares benefits lower incomes

But ‘tough choices’ necessary to tackle ‘the unfunded legacy of Livingstone’s largesse’

The Mayor of London, Boris Johnson, today announced an affordable fares package for 2009 to help sustain the massive investment necessary to increase capacity and reliability across London’s transport network.

The billions being invested in London’s transport network will support the transformation of the Tube, preparations for 2012, deliver Crossrail, the extension of the London Overground network and Docklands Light Railway, an even better bus network and sustainable schemes to get more people cycling and walking.

Working with London’s boroughs the elderly will benefit through the extension of the Freedom Pass to 24hrs. There will be a new half-price travel scheme for those on Income Support, now funded by the Mayor and Transport for London (TfL) rather than the people of Venezuela. And across the TfL network Oyster will remain the cheapest way to travel.

Many Londoners and visitors will benefit from the introduction of a new daytime off-peak reduced fare on the Tube, from 9.30am to 4.00pm Monday to Friday. In some cases, a journey from zone 6 to central London will be £1.60 cheaper. For example, using Oyster Pay As You Go to travel from zone 6 to zone 1 between 9:30 am and 4:400 pm will fall from £3.80 to £2.20.

War veterans in receipt of a pension under the War Pensions Scheme or the Armed Forces Compensation Scheme, including war widows and widowers and eligible dependents, will be continue to travel for free following the Mayor's announcement early this year.

However, Mayor Johnson warned of the consequences of former Mayor Livingstone's unsustainable fares policy and pursuit of unfunded transport schemes, including the hugely unpopular West London Tram project that consumed £30 million of public money before being scrapped. It is estimated that Livingstone's policies in his last year alone are estimated to have removed over £80 million from the funds available to Transport for London this year, translating into a huge gap over the ten year investment period. Overall, fares will have to rise one per cent above inflation and there will be tough choices around some unfunded transport projects, to be reviewed as part of TfL’s Business Plan published later this year.

Mayor of London Boris Johnson said: “This fares package is designed to be fair to all Londoners, commuters and visitors. Some of us will pay a little more but I have ensured fares will remain affordable, especially for people who rely on public transport most, including the elderly, disabled veterans and those on lower incomes.

“I have been left to tackle the unfunded legacy of Livingstone’s largesse. Put simply, the previous Mayor’s cynical and irresponsible pre-election fares freeze and support for unfunded transport schemes is unsustainable, and has produced a gap that has to be plugged. I’m determined to deliver value for money for London’s farepayers and taxpayers and that will mean some tough choices.

“But let no-one be in any doubt. We’re investing billions to improve transport in London, prepare for 2012 and deliver Crossrail. This is a fares package that will sustain the investment needed to deliver the extra capacity and reliability that is vital for London.”

Fares will rise next year based on the July 2008 Retail Price Index (RPI) plus one per cent overall. This means an overall increase of six per cent in 2009, sustaining the funds necessary for investment in the transport network. TfL will also need to keep under review the impact of higher oil prices and other global and national economic pressures.

London's Transport Commissioner, Peter Hendy said: "The Mayor's emphasis on taxpayer value means we are taking action on costs across the whole of TfL, minimising overheads and focusing on service delivery and capacity improvement in every area.

"In the Autumn, we will demonstrate how further savings, together with fares income and government grant, will produce a balanced budget in 2009/10, and the capacity for major investment in Crossrail and other schemes in the years ahead."