'Significant' job losses expected at Metronet and TfL

"Significant" job losses are on the cards for Metronet and other Transport for London (TfL) staff as part of a major restructuring of TfL.

The move aims to save £2.4bn over ten years and is prompted by TfL’s funding crisis which is threatening the future of the London Underground PPP upgrade and other major transport schemes in London.

TfL chief Peter Hendy warned staff of “significant” job losses under the restructuring but said the quota would be met as much as possible through job transfers and a jobs freeze.

On the upside he promised that Crossrail would provide a significant number of jobs that would be open to TfL staff.

TfL’s funding problems were highlighted earlier this year when the PPP Arbiter Chris Bolt highlighted a £1.4bn funding shortfall for London Underground’s Public Private Partnership (PPP) contract to upgrade the Tube.

The Treasury has made clear it is not prepared to stump up anymore funding for TfL.

Cuts have already been made to a number of London Transport projects in a bid to stay within TfL’s £38bn ten year budget.

Aborted schemes include the Docklands Light Railway extension to Barking and plans for a tram along Oxford Street. Cuts are also expected to the scope of the London Underground PPP contract.