Press Release


Thursday 19 April 2012

KEN LIVINGSTONE: I CAN’T CUT FARES

The BackBoris2012 campaign today exposes how Ken Livingstone has himself admitted he can’t carry out his own key manifesto pledge.

The revelations, in Ken Livingstone’s own words, confirm what independent experts have already concluded - that he cannot deliver his transport plans without cutting investment or hiking up fares by a massive RPI+38% in 2015 to prevent TfL running out of money.

And it shows that Mr Livingstone cannot be trusted to deliver.

A new video and leaflet campaign launched today details how Mr Livingstone has admitted:

  • He can’t cut Travelcard fares – despite claiming on his campaign website that he can
  • That surpluses do fund investment – despite repeatedly claiming surpluses are separate from investment
  • TfL is not allowed to make a ‘profit’ – despite claiming on his campaign website he will fund his fare cut from TfL ‘profit’.

A spokesman for Boris Johnson’s re-election campaign said: ‘‘In his last chance to grab power, Ken Livingstone will say and do anything to get elected. Because he wants to be Mayor and needs Londoners’ votes, he is claiming he can cut fares, despite the current tough financial times. But when he was Mayor and did not need Londoners’ votes, he admitted he could not cut fares, even in the boom economic years.

“Despite his claims, Ken Livingstone knows that his fare cut will not save Londoners money. In fact, it will cost Londoners more money in the long term, as he stores up massive financial problems that would hit all commuters in three years’ time.

“As Mr Livingstone himself knows, he can’t carry out his transport plans without hiking up fares by more than 38% to avoid bankrupting TfL or by cutting investment. But as his record shows, he will never be honest with Londoners.”

NOTES TO EDITORS

Find leaflet attached as PDF

Watch video here:
http://youtu.be/moumIhgq35M

How Ken Livingstone’s plans would result in a RPI+38% hike to fares in 2015

Ken’s plans would leave many Londoners hundreds of pounds worse off, as TfL would be forced to levy massive hikes in order to stop the money running out.

TfL internal documents confirm that a bail out would see fares go up by RPI +38% in 2015. This is what it would mean for Londoners.

Methodology

The calculations are based on:

  • What the fare level would be on a range of Travelcard types by 2015 if the fares were cut by 7% this year, frozen at that level in 2013, increased by RPI in 2014 and by RPI +38% in 2015.
  • Treasury estimates of inflation. This shows RPI will be 2.8% in 2013 (HMT, Forecasts for the UK Economy, February 2012, link). The independent average compiled by the Treasury estimates that RPI for 2014 is 2.9% and for 2015 3.3% (ibid.).

The increases in full - see PDF attachment for table

Attached files

Why Ken Livingstone can't cut faresWhy Ken Livingstone can't cut fares

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