Annual Report and Statement of Accounts
2018/19 – 24 July 2019 About Transport for London (TfL)
Part of the Greater London Authority We are moving ahead with many of London’s family led by Mayor of London Sadiq Khan, most significant infrastructure projects, using Contents we are the integrated transport authority transport to unlock growth. We are working responsible for delivering the Mayor’s aims with partners on major projects like Crossrail for transport. 2 and the Bakerloo Line Extension that will deliver the new homes and jobs London and We have a key role in shaping what life is like the UK need. We are in the final phases of in London, helping to realise the Mayor’s completing the Elizabeth line which, when vision for a ‘City for All Londoners’. We open, will add 10 per cent to central London’s are committed to creating a fairer, greener, rail capacity. healthier and more prosperous city. The Mayor’s Transport Strategy sets a target Supporting the delivery of high-density, for 80 per cent of all journeys to be made mixed-use developments that are planned on foot, by cycle or using public transport around active and sustainable travel will by 2041. To make this a reality, we prioritise ensure that London’s growth is good health and the quality of people’s experience growth. We also use our own land to provide in everything we do. thousands of new affordable homes and our own supply chain creates tens of thousands of We manage the city’s red route strategic jobs and apprenticeships across the country. roads and, through collaboration with the London boroughs, can help shape the We are committed to being an employer that character of all London’s streets. These are is fully representative of the community the places where Londoners travel, work, we serve, where everyone can realise shop and socialise. Making them places their potential. Our aim is to be a fully for people to walk, cycle and spend time inclusive employer, valuing and celebrating will reduce car dependency and improve the diversity of our workforce to improve air quality, revitalise town centres, boost services for all Londoners. businesses and connect communities. We are constantly working to improve the We run most of London’s public transport city for everyone. This means freezing TfL services, including the London Underground, fares so everyone can afford to use public London Buses, the DLR, London Overground, transport, using data and technology to make TfL Rail, London Trams, London River services intuitive and easy to use, and doing Services, London Dial-a-Ride, Victoria Coach all we can to make streets and transport Station, Santander Cycles and the Emirates services accessible to all. We reinvest every Air Line. The quality and accessibility of penny of our income to continually improve these services is fundamental to Londoners’ transport networks for the people who use quality of life. By improving and expanding them every day. public transport, we can make people’s lives easier and increase the appeal of sustainable None of this would be possible without travel over private car use. the support of boroughs, communities and other partners who we work with to improve our services. We all need to pull together to deliver the Mayor’s Transport Strategy; by doing so we can create a better city as London grows.
TfL Annual Report and Statement of Accounts 2018/19 3 Making every journey matter
‘ Our work over the last 12 months continues to be aligned to the priorities of the Mayor’s Transport Strategy. These key areas, covering Healthy Streets and healthy people, a good public transport experience, and new homes and jobs, have underpinned everything we have done, from launching new safety action plans to creating more step-free stations.’
Mike Brown MVO Commissioner
4 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 5 Mayor’s message London is the greatest city in the world and transport is its lifeblood
I know how important it is year since I was elected, into the sustainable city that transport is affordable TfL’s like-for-like operating its customers need. I ‘ The Elizabeth line will be the single and accessible. That is why I costs have fallen. have launched my new have kept TfL fares frozen and Ultra Low Emission Zone, most significant new public transport protected travel concessions As TfL continues to mobilised an accelerated infrastructure in London for decades’ throughout my term as become even more programme of investment Mayor, even as National Rail efficient, we also look to in cycling and transformed fares have continued to rise the future. Through my the safety, emissions and external factors have put transport strategy, TfL standards and efficiency pressure on TfL’s finances. If is transforming London of London’s bus network. Londoners cannot afford to The Elizabeth line will be The new financial package move around the city they the single most significant for Crossrail is based on live in, then we have failed. new public transport London ultimately absorbing TfL fares have been frozen for a infrastructure in London for all of the capital and revenue My affordable fares policy decades. I was frustrated and impact of the delay. has protected TfL’s revenues third year in a row, keeping travel angry at the delay announced Sadiq Khan during a period when public by Crossrail Ltd in August However, like cities across Mayor of London transport ridership has been affordable for all Londoners 2018. Millions of Londoners the UK, London’s core subdued across the country. had been looking forward to public transport network At the same time, TfL has the opening of the Elizabeth needs steady and sustained reversed a 16-year trend of line through central London investment from central rising costs by becoming at the end of 2018, and the Government. I will be making more efficient than ever in its new income from the line the case for that investment history. This year, like every was core in TfL’s business in London as the Government planning. I have worked with embarks on its spending the Government to agree a review in the months ahead. financing package to meet the additional capital cost and ‘ TfL is transforming put a new leadership team in place at Crossrail Ltd. We London into the are all now rightly focused on sustainable city it safely opening the Elizabeth line as quickly possible. needs to become’
6 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 7 Commissioner’s foreword In challenging conditions, we must stay focused on safety and delivering for London
Safety remains our top road network like Highbury national economic conditions priority and we have made Corner junction. We will that have put pressure on ‘ We must focus on safety regardless of real progress. maintain our focus on our passenger revenues at safety even as we face the same time as responding any other challenges we may face’ We published our Vision many other challenges. to the removal of Zero action plan and approximately £700m per this will enable major This year has seen the annum of direct operating improvements to the safety delay to the opening of grant from the Government. of transport in London, the Elizabeth line. This was Ltd and the Government to out of that digital system such as our new Bus Safety extremely disappointing The delay to Crossrail has understand when the project across a further 40 per cent Standard and transforming for London, for us, and our required us to negotiate a will be completed and agree of the London Underground intimidating parts of the finances. We are also facing deal with the Government how the financial impacts of network. As part of our for more than £2bn of the delay can be managed. central role in supporting financing to complete the Crossrail Ltd’s new team has London’s growth, we have project, which is on top of now confirmed their revised submitted several major Mike Brown MVO The hard work of our people provision we have made in new scheduled opening planning applications for Commissioner our Business Plan for £600m window and we will work new housing and commercial has helped us to overcome the of lost fare revenues. After with them to safely begin developments and brought the announcement we running Elizabeth line services more than 3,000 homes challenges of a difficult year worked closely with Crossrail for passengers in keeping to market, exceeding the with this new schedule. Mayor’s target for half of them to be affordable. We have let a contract ‘ The delay to the to deliver a new fleet None of this delivery would of Piccadilly line trains. have been possible without Elizabeth line Five further London our great people both in our was extremely Underground stations organisation and throughout have been made step-free, our supply chain. This has disappointing including completing the been a difficult year but we for us and for major upgrade of Victoria have overcome the challenges station. And we have begun through much hard work and London, and had to operate trains under dedication. I look forward significant impacts automatic control on the first to us continuing to work part of the Hammersmith together to keep London on our finances’ & City line, before the roll moving, working and growing.
8 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 9 Chief Finance Officer foreword Cutting our costs Delivering our plan for financial sustainability We reduced our net cost of operations to while managing challenging conditions one third of what it was three years ago*
We successfully delivered a We have made good progress We have maintained a firm grip on our costs net cost of operations that with delivering our savings despite a challenging climate. We are managing is one third of what it was in programme but our plans our cost base, including maintenance savings 2015/16, once the operating for future savings are not and contract renegotiations. grant we used to receive without risk. from Government is taken The headline result for 2018/19 is that we into account. We also need certainty over have reduced our net cost of operations our long term capital funding to £494m, compared to £1,516m in 2015/16 We have achieved this despite beyond 2020/21 so that we can (excluding operating grant). the delay to the opening maintain our core transport of the Elizabeth line and infrastructure and ensure that Like-for-like operating costs fell by 0.6 per continuing pressure on our the city remains productive. cent, from £5,657m in 2017/18 to £5,621m.** ridership from the subdued economic conditions we The Government has We continue to work with our trade unions are seeing across the UK. indicated it will carry out a Simon Kilonback as we seek to drive efficiencies and reduce This strong performance spending review later this Chief Finance Officer back and middle office costs by 30 per cent. for 2018/19 keeps us on track year. As businesses and We have already delivered significant savings, to deliver the targets in our stakeholders point out, steady including reducing headcount by 13 per cent five-year Business Plan and investment in infrastructure in the last three years and the size of our to achieve a surplus after the must be sustained if London non-permanent workforce by 61 per cent cost of day-to-day operations, is to continue growing, since December 2015. including renewals and net attracting jobs, talent and financing costs, by 2022/23. new housing. At the end of 2018/19, staff costs were £31m better than budget. This has contributed to Significant challenges remain. a reduction in our year-on-year, like-for-like Tube ridership was better than budget Economic projections are operating costs for the third consecutive year. uncertain and growth – and ‘ The strong performance for 2018/19 therefore our ridership – is keeps us on track to deliver the targets likely to remain subdued in our five-year Business Plan and to 66% £479m 13% given the forecast from reduction in better net reduction in the Office of National achieve a surplus after the cost of day- net cost of cost of headcount Statistics, Bank of England, operations operations since 2015/16 Experian Economics, GLA to-day operations, including renewals since 2015/16 than budget Economics and the HM and net financing costs, by 2022/23’ Treasury summary of * net cost of operations per internal reports to management is reconciled to the Group Comprehensive Independent forecasts. Income and Expenditure Statement in note 2 to the accounts. ** A table showing the calculation for like-for-like operating costs is included on p128
10 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 11 Increasing revenues The delay to Crossrail We continue to look for further opportunities We have agreed financing with Government to generate long-term revenue to enable the opening of the Elizabeth line
We generate and receive more than £10bn Demand has been lower than expected A deal was agreed in December of income and funding each year, which on London trams with ridership of 29m to ensure the Elizabeth line is used to run day-to-day operations and journeys over the year, which is 3.9 per can open to passengers as maintain and enhance our services. cent below budget and 1.3 per cent quickly as possible. lower than the previous year. Passenger income, as included in internal Following the announcement management reports, increased by four per Commercial development income by Crossrail Ltd that the cent to £4,822m. This was mainly on the increased by 3.6 per cent as both central section of the London Underground network where the advertising and property income Elizabeth line would be We announced a finance deal to deliver Crossrail 1.4bn journeys made over the year were 2.4 increased. This is 1.5 per cent below delayed, we commissioned per cent better than budget and two per budget mainly because of missed KPMG to conduct cent up on the previous year. Crossrail advertising opportunities. independent reviews into The GLA will also contribute Crossrail Ltd’s financing and £100m, taking its total ‘ Crossrail Ltd’s In 2018/19, bus passenger income was £11m We have established a consulting arm governance arrangements. contribution to £1.4bn. This announcement lower than our budget for the year, where the that is already pursuing opportunities will be provided as a grant to 2.2bn bus journeys were 1.2 per cent lower than both within the UK and overseas. Over This indicated that the likely us for the Crossrail project. of the delay to the previous year. We continue to observe time this is expected to generate capital cost of the delay could subdued demand on our bus network. significant recurring revenue. be in the region of between We also agreed a the Elizabeth £1.6bn and £2bn, including a contingency arrangement line is extremely London Overground journeys were within Cash balances have improved this year, £300m funding contribution with the Government in the 0.2 per cent of budget, with 189.5 million largely through large asset sales and already announced in July 2018. form of a loan facility from disappointing, passengers over the year. Journeys on the asset recycling transactions. We have the DfT of up to £750m, but it is DLR increased by 1.9 per cent to 122 million ended the year £257m ahead of budget. In December, we confirmed should the higher end of in 2018/19, or 1.3 per cent higher than budget. a new financing deal with the estimate be realised. important not the Government to help to lose sight deliver the final stages of Crossrail Ltd announced in the Crossrail project. April 2019 that the central of the huge Bus passenger section will open during a 4% 3.6% demand within This agreement will see the six-month window with a benefits the increase in increase in passenger commercial Greater London Authority midpoint at the end of 2020, line will bring’ income income 1% (GLA) borrow up to £1.3bn and that they expect the compared compared of forecast from the DfT, and repaying capital costs to complete Mark Wild to 2017/18 to 2017/18 this from the existing Business the central section to be Crossrail Ltd’s Rate Supplement and Mayoral delivered within the agreed new Chief Community Infrastructure Levy. funding package. Executive
12 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 13 TfL Scorecard Our scorecard provides a benchmark for our achievements throughout 2018/19
1 The TfL Scorecard is designed to reflect We delivered 81 per cent of our investment Long-term objectives 2018/19 scorecard Full year the key policy objectives of the Mayor’s milestones. The milestones not met Outcome Measure Actual Target Transport Strategy and is structured in four included selecting a preferred bidder for equally-weighted quadrants aligned to our the Silvertown Tunnel, which was delayed Healthy Streets and healthy people (18%) organisational priorities. when the Government’s decision on the Development Consent Order for the project London’s transport system Reduction in people killed or will be safe and secure seriously injured on the roads 36.5 n 45.4 We did not meet our target to reduce the came later than we had expected. The from 2005-09 baseline (%)2 number of people killed and seriously injured target of opening the central section of the on London’s transport network. On public Elizabeth line in 2018 was not met. Reduction in people killed or seriously transport we met our targets to reduce the injured on roads from 2005-09 58.9 n 55.6 2 number of deaths and injuries. We want our workforce to be fully baseline (incidents involving buses) (%) representative of London’s population. Injuries on the public transport network 11,279 n 11,683 We met all other Safety and Operations This measure improved but the targets London’s streets will be Safety and targets. This includes delivering significant time were not fully met, either for senior Operational improvements used more efficiently and 16,985 n 15,000 operations to sustainable travel savings for pedestrians, cyclists and bus users leadership or our workforce as a whole, have less traffic (25%) by improving the timings of traffic signals, and owing to our current low level of recruitment London’s streets will be Number of London buses that bringing the total number of Euro VI compliant and continuing change in our organisation. 6,950 n 6,050 buses to nearly 7,000 vehicles. This will greatly clean and green are Euro VI compliant improve London’s air quality and has ensured The annual Viewpoint survey measures More people will travel Healthy Streets scheme assessment 11 n 10 that all buses operating in central London are total staff engagement and, through the actively in London (average percentage uplift) compliant with the Ultra Low Emission Zone. inclusion index, how fair and inclusive our organisational culture is. Total staff A good public transport experience (17%) Over the last year we have improved the engagement and the inclusion index both Journeys by public transport Tube excess journey time (minutes) 4.49 n 4.50 performance of London Underground and remained steady at 56 per cent and 43 per will be fast and reliable bus services, and increased the customer care cent respectively. This ends a period of Average bus speeds (mph) 9.3 n 9.2 score from 46 to 49 per cent. We exceeded decline in recent years, but did not our affordable housing target by 12 per cent. meet the targets we had set to increase Public transport will Additional time to make step-free 9.1 n 9.0 both measures. be accessible to all journeys (minutes) Customers Walking, cycling and public transport Journeys by public transport Customer satisfaction (percentage (25%) journey numbers all increased. This partially In a difficult financial climate we have will be pleasant of Londoners who agree we care 49 n 49 meets our target, but there has been an met our financial targets, which supports about our customers) increase in motor traffic that we need to the longer-term objective to achieve address as we move towards the aim in the a surplus after the cost of day-to-day Mayor’s Transport Strategy for 80 per cent operations, including renewals and net 1. These results are subject to approval by the Chair of the Audit and Assurance Committee. of journeys to be on foot, by cycle or using financing costs, by 2022/23. public transport by 2041. 2. Measured in calendar years (year to date is January to Dec 2018). These are provisional estimates and may be subject to change.
14 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 15 Long-term objectives 2018/19 scorecard Full year1 Long-term objectives 2018/19 scorecard Full year1 Outcome Measure Actual Target Outcome Measure Actual Target
New homes and jobs (2.5%) All MTS themes (7.5%)
Transport investment will All Mayor’s Transport Deliver key investment milestones (%) 81 n 90 The percentage of affordable houses Customers unlock the delivery of new 62 n 50 Strategy outcomes we take to market in the year (%) (continued) homes and jobs Deliver in Open Elizabeth line central section Delayed n December 2018 Mode share (5%)
80% of journeys will be made Improve sustainable mode 3 of 4 n 4 of 4 People (25%) by sustainable modes in 2041 share: movement of 4 elements compared to 2017/18: A capable and engaged Workforce representativeness workforce representative – all staff (%) n a. Increase in cycling in 69.9 70.7 People of London – director/band 5 (%) n Central London zone 37.8 46.6 (25%) Customers b. Increase in public (continued) Inclusion index (%) 43 n 46 transport journeys Total engagement (%) 56 n 57 c. Increase in walking
d. Decrease in traffic index Financial (25%) Financial Net operating surplus (£m) 358 n 12 Cycling (% increase to 2014 Baseline) Increase n Increase We are prudent and cover (25%) our costs Investment programme (£m) 1,633 n 2,138 Passenger journeys (millions) Increase n Increase
Traffic index Increase n Decrease
Walking Increase n Increase
16 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 17 July 2018 Year at a glance Vision Zero action plan Action plan sets out how we will eliminate deaths and serious injuries from the transport network. April 2018 Priority seats
Priority Seating Week, marking the one-year anniversary of the Please offer me a seat campaign.
Vision Zero action plan Taking forward the Mayor's Transport Strategy
May 2018 Risk Up campaign
Reminding motorists that when the speed goes up, so does the risk of death and serious injury.
June 2018 August 2018 Safer junctions Crossrail Work to transform Highbury announcement Corner, one of the most intimidating junctions in Crossrail Ltd announced London, gets under way. the delay to the opening of the Elizabeth line.
18 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 19 September 2018 Hopper fare
The Hopper fare celebrates its second anniversary, with more than 220 million journeys. January 2019 London Overground
Manufacturer Bombardier October 2018 announces that delivery of new London Overground Cycling improvements trains would be delayed.
Three new Quietways, adding 15km to the network of safer, less busy routes.
February 2019 November 2018 Greener taxis Cleaner air An additional £24m fund to The first Ultra Low Emission Zone (ULEZ) help black cab drivers convert signs installed across London as to electric vehicles, taking part of a major awareness campaign. the total fund to £42m.
December 2018 March 2019 Cycling action plan Access All Areas
Action plan sets out how we Second Access All Areas will improve the quality of event, showcasing the latest cycling infrastructure. in accessible transport, design and services.
20 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 21 Operational performance measures
Buses 2014/15 2015/16 2016/17 2017/18 2018/19 London Underground 2014/15 2015/16 2016/17 2017/18 2018/19
Passenger journeys (millions) 2,385 2,314 2,262 2,247 2,220 Passenger journeys (millions) 1,305 1,349 1,378 1,357 1,384
Kilometres operated (millions) 489 492 495 490 480 Kilometres operated (millions) 80.3 82.5 83.7 84.4 85.0
Schedule operated (%) 97.1 97.2 97.4 98.1 98.1 Schedule operated (%) * 97.6 97.0 96.9 96.6 96.8
Excess wait time (high frequency routes) Excess journey time (weighted) (minutes) * 4.6 4.6 4.7 4.6 4.6 1.1 1.2 1.1 1.0 1.0 (minutes) Customer satisfaction (score) 84 85 85 85 84 Customer satisfaction (score) 85 86 86 86 85 Lost customer hours (millions) * 22.7 26.5 26.1 23.9 24.6
* Includes industrial action
TfL road network 2014/15 2015/16 2016/17 2017/18 2018/19
Journey time reliability (am) 88.3 87.8 88.0 88.7 88.9 DLR 2014/15 2015/16 2016/17 2017/18 2018/19 Traffic flow – major roads weekdays* 95.9 95.2 95.1 94.8 96.0 Passenger journeys (millions) 110.2 117.0 122.3 119.6 121.8 Customer satisfaction (score) 74 74 70 70 71 Kilometres operated (millions) 5.8 6.0 6.0 6.1 6.1 Resolution time for serious and severe 2.0 1.9 1.9 1.7 1.6 disruption (unplanned) per event (hours) Planned kilometres delivered (%) 99.3 98.5 99.0 98.4 99.0
Hours of serious and severe Customer satisfaction (score) 89 89 89 87 87 931 1,404 506 445 346 disruption (planned)
* Traffic volume compared with an index of 100 from Period 13, 2006/07
22 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 23 London Trams 2014/15 2015/16 2016/17 2017/18 2018/19 TfL Rail 2014/15 2015/16 2016/17 2017/18 2018/19
Passenger journeys (millions) 30.7 27.0 29.5 29.1 28.7 Passenger journeys (millions) na 40.1 47.8 45.3 55
Kilometres operated (millions) 3.0 3.0 3.2 3.3 3.2 Customer satisfaction (score) na 83 83 83 84
Planned kilometres delivered (%) 97.9 99.0 97.1 98.6 98.4
Customer satisfaction (score) 89 90 90 91 90
London River Services 2014/15 2015/16 2016/17 2017/18 2018/19
Passenger services 10,023 10,301 10,620 10,017 9,757 (including Woolwich Ferry) (thousands) London Overground 2014/15 2015/16 2016/17 2017/18 2018/19
Passenger journeys (millions) 139.9 185.2 188.8 190.1 189.6
Kilometres operated (millions) 7.8 10.5 10.8 11.0 11.7
Planned kilometres delivered (%) 95.2 94.4 94.4 98.4 95.9 London Dial-a-Ride 2014/15 2015/16 2016/17 2017/18 2018/19 Customer satisfaction (score) 83 84 84 83 83 Customer satisfaction (score) 92 92 91 92 89
Trip requests scheduled 90 90 89 91 90
Emirates Air Line 2014/15 2015/16 2016/17 2017/18 2018/19
Passenger numbers (millions) 1.5 1.5 1.5 1.4 1.3 Cycle Hire 2014/15 2015/16 2016/17 2017/18 2018/19 Customer satisfaction (score) 93 93 93 93 92 Cycle hires (millions) 10.1 9.9 10.5 10.4 10.9 Availability (per cent) 96.3 94.4 98.7 97.6 97.7
24 Making every journey matter TfL Annual Report and Statement of Accounts 2018/19 25 Safety and security
‘ Safety is core in everything we do. We launched our Vision Zero action plan, outlining our ambition to eliminate all deaths and serious injuries from the transport network. We continue to improve safety on London Trams, following the tragic overturning of a tram in Sandilands in 2016, and have worked to tackle hate crimes and sexual assaults.’
Jill Collis Director of Health, Safety and Environment
26 Safety and security TfL Annual Report and Statement of Accounts 2018/19 27 Safety and security – a year of delivery We have continued to improve safety and security for customers and staff
Following the tragic overturning We continued to work with May 2018 of a tram at Sandilands in the British Transport Police Tender process We took part in Our goal is that, by During a two-week 2016, we continue to improve to increase awareness of for the new more than 2041, there will be period we dealt with safety on the London Trams hate crimes, encourage automatic 250 Zero 519 network. In May 2018, we more people to report braking system engagement projects deaths or serious cycling offences, began a tender process for their experiences and to for trams for Hate Crime injuries on our such as jumping the new automatic braking support National Hate Crime Awareness week transport network red lights Risk Up safer system that will slow a tram Awareness week in October. speed campaign to a stop if it exceeds speed is launched limits at critical locations. Our world-leading Bus Safety Standard launched in October Operation Vision A pedestrian hit by a June 2018 Our speed reduction at a Bus Safety Summit. A Zero dealt with vehicle travelling at campaign engaged drivers range of measures, including Work begins 4,758 20mph and motorcyclists in a series speed-limiting technology, on improving Highbury road danger offences is five times more of messages highlighting anti-slip precautions, reversing over a two-week likely to survive than the risks both groups face. cameras and blind spot mirrors Corner junction period in November being hit at 30mph We also continued our work aim to reduce the number to reduce the number of of people killed or seriously July 2018 slips, trips and falls on the injured on or by a London bus. Vision Zero action Underground with a series plan published The number of hate There have been of posters and safety In November, supporting crime reports rose by more than announcements at stations. the International Day for the October 2018 Elimination of Violence Against Bus Safety 2% 1,500 Work began to improve Women, we encouraged Standard launched from the previous arrests made since Highbury Corner junction in people to report unwanted year as we encourage our Report It to Stop victims to speak out It campaign launched June to improve safety for sexual behaviour on our November 2018 cyclists, pedestrians and network. And in December, Report It to other road users. we ran our annual Safer Travel Stop It campaign at Night campaign to increase continues The Vision Zero action plan awareness of the dangers of was launched in July. It using unlicensed minicabs. December 2018 proposed reduced speed limits and improving the We launched the final Safer Travel at junctions with the highest consultation for the Direct Night campaign risk to make them safer. This Vision Standard for heavy work, along with targeting goods vehicles in January 2019. January 2019 behaviours that contribute to This will use a Safety Permit Final consultation the most collisions, changes scheme and make sure that for the Direct to the London Bus fleet and vehicles are retrofitted with Vision Standard improved post-collision a safe system to continue to learning, form the basis of drive on London’s roads. the action plan.
28 Safety and security TfL Annual Report and Statement of Accounts 2018/19 29 Vision Zero: measures Towards Vision Zero towards safer streets Working with partners to eliminate deaths and serious injuries on London’s streets by 2041 Safe behaviours
In July 2018, we launched the The road danger reduction targets are: Of the factors contributing Vision Zero action plan, to to a collision in London, reduce the number of people By 2022 By 2030 93 per cent are due to killed or seriously injured on a limited number of London’s streets and public behaviours. These are transport network to zero by Safe streets Safe speeds inappropriate speeds, 2041. London joins some of the 65%▼ 70%▼ 70%▼ 0 risky manoeuvres, biggest cities in the world, such Vision Zero proposes distraction, drink or drug fewer people fewer people fewer people people as New York, in implementing killed or killed or seriously killed or killed Vision Zero supports the to reduce speeds on driving and vehicle or the Vision Zero approach. seriously injured in, or seriously on, or by, Safer Junctions programme, the our roads within driver non-compliance. injured against by, London injured against London which prioritises safety the Congestion The Vision Zero action 2005-09 levels buses against 2010-14 levels buses The Vision Zero action plan 2005-09 levels improvements on the Charging zone to plan proposes new changes the approach to road junctions where the most 20mph by May 2020 campaigns to engage danger, challenging the view people are killed or seriously and change street people on the most risky that death and serious injury injured. Of the 73 junctions design to encourage behaviours and increase on London’s streets is an identified in the programme, people to drive at an awareness of the impact inevitable part of living in a 21 have already been improved. appropriate speed. they can have. busy modern city. The Sarah Hope Line
Proposals include reduced Safe vehicles 70% speed limits and fast-tracking The Sarah Hope Line provides of London’s roads improvements to the highest- support for people affected by are proposed Post-collision injury and other life-changing to be set at risk junctions, which we Our world-leading Bus Safety 20mph by 2022 learning identified as part of the Safer events involving public transport. programme aims to reduce Junctions programme. the number of people killed or It is run by specially trained staff, who can make seriously injured on our buses Understanding the causes referrals for counselling and offer support, including To successfully achieve by 70 per cent by 2022. of collisions will help us to reimbursing medical costs and assisting with national Vision Zero, we will continue As part of this, we will prevent them from happening and international travel. to work closely with develop the safest possible again. The police provide London’s boroughs, police In 2018/19, the Sarah Hope Line team managed 594 calls buses, incorporating the us with vital information and other partners. relating to events on board buses, trams and the Tube. latest safety technology. about how serious collisions We continue to promote the service and presented We work in partnership occurred so we can identify to the Metropolitan Police Family Liaison Officers, with the Metropolitan risks. Our Sarah Hope Line helps ClickVisit tfl.gov.uk/vision-zero here to read the to Police Service and national anyone injured or affected by a Visionread the Zero action action plan plan in full in and met with surgical and trauma care specialists and full (opens in browser) the London Air Ambulance Service. Confidential Incident serious or life-changing incident Reporting Analysis System. involving our services.
30 Safety and security TfL Annual Report and Statement of Accounts 2018/19 31 Taking no risks Taking direct action on HGVs Highbury Corner We launched a campaign Innovative safety equipment improvements in May 2018 to remind motorists to consider We launched the final reduce road danger for In June 2018, work their speed, which was In October 2018, we published a new Bus Safety consultation on our Direct vulnerable road users, such began on transforming aimed at reducing the Standard at a special summit. The plans form part Vision Standard proposals as cyclists and pedestrians. Highbury Corner number of deaths and of our overall Vision Zero ambition and detail the in January 2019. The world- Our consultation asked junction, which has one serious injuries on London requirements that all bus operators will need to adopt first approach will tackle people for their views on of the poorest safety roads. The key message up to 2024. The first milestone will be that all new road danger by eliminating the process for obtaining a records in London. The was that when the London buses must include speed-limiting technology, blind spots from heavy Direct Vision star rating, the changes are designed speed goes up, the risk audible alerts for passengers, slip reduction measures goods vehicles. The safe system requirements, to improve safety for goes up. The campaign such as high-grip flooring, more blindspot mirrors standard, and associated and the enforcement and cyclists, pedestrians and focused on driving at an and reversing cameras, and warning pedal indicators Safety Permit for vehicles appeals process. other road users. These appropriate speed for for drivers. Our bus operators also trialled innovative that have retrofitted a include removing the the road and conditions, safety equipment, including fatigue detection devices, safe system, will help 1960s roundabout and including driving in built- acceleration limiters and new training apps. replacing it with two-way up areas, driving in poor roads, with segregated weather, or at night. cycle lanes on the remaining three sides. There will also be a new public space.
Motorcyclists. On built-up streets, when you throttle up the risks go up.
Think! Slow down.
Making London Trams safer The Mayor Sadiq Khan (centre) helped launch the Direct Vision Standard
Work to improve safety on This forms part of a wider the London Trams network trams improvement programme 70kph Clear guidance on roadworks continued, following the that has already seen the is the maximum speed a tram can tragic overturning of a tram in introduction of a permanent travel, 10kph lower We published a guide to safe practice for Sandilands in November 2016. In speed reduction across the than it was in 2016 roadworks in February 2019. The Temporary May 2018, we began the tender tram network, more speed Traffic Management handbook gives process for a new automatic monitoring, enhanced signage companies clear guidance and ideas on braking system. The system brings at significant bends, and the how to keep people safe around works, a moving tram to a controlled installation of a driver protection particularly cyclists, pedestrians and stop if it exceeds the speed limit device that alerts if it detects motorcyclists. It sets out good practice to at a designated location and any incidence of fatigue, anyone involved with roadworks and other alerts the control centre. distraction or speeding. construction operations.
32 Safety and security TfL Annual Report and Statement of Accounts 2018/19 33 ‘ Hate crime has Suicide prevention Standing together to tackle hate crime Safer Travel at Night no place in any Our bespoke training civilised society. has helped double More than 250 joint engagement projects took place across Getting our customers home safely the number of suicide We encourage all London as part of National Hate Crime Awareness Week over the Christmas period interventions on the passengers to stand in October 2018. We worked with the British Tube. The training Transport Police, Metropolitan Police and We ran our annual Safer Travel at Night campaign in programme enables staff together and report City of London Police to raise awareness December 2018, to remind customers of the dangers to identify vulnerable and encourage people to report instances of using unlicensed minicabs. Working alongside passengers and provides any hate crime that of hate crimes so that action can be taken. the Metropolitan Police Service and City of London advice on how to deal they witness or We visited Camden People First disability Police, our Taxi and Private Hire Compliance with situations. It was group, St John’s Wood United Synagogue team engaged with revellers in the lead up to the launched in November experience. Public and Victoria station. Christmas season. They highlighted the rules for 2017, with a further transport must booking a private hire vehicle or hailing a black taxi, rollout in August 2018. as well as encouraging people to report incidents to be a place where us or the police. We also spoke directly with minicab everyone feels safe operators to remind them of their responsibilities towards passenger safety. and we all stand Reducing injuries up against bigotry on the Underground and for minority
communities Most injuries on the who may fear Underground involve slips, trips and falls on escalators victimisation. This and stairs. We introduced an is why we are Escalator Excellence Award scheme, starting with the 10 working closely Report it stop it Tackling stations that had the most knife crime accidents. This includes new with the police In November 2018, we signs, a new poster campaign to tackle hate marked the International and better announcements. Day for the Elimination Together with the The scheme is now in place crime and support of Violence Against Metropolitan Police in all Tube stations that have offenders being Women by encouraging Service, we approved escalators. A Stairs Excellence reporting of unwanted the moving of 100 police Scheme has also been caught and brought sexual behaviour. This officers from the Roads introduced at 36 stations to to justice’ builds on our Report It and Transport Policing target falls on stairs. We also to Stop It campaign, and Command to the Violent moved the platform edge on since its launch in 2015, Crime Task Force. These more than 90 platforms to Siwan Hayward there has been a 65 per officers support work reduce the gap between the Director of cent increase in reports, such as stop and search, train and the platform and Compliance, Policing as people feel confident knife arches, metal improved the cameras on a and On-Street that action will be taken detector wands and number of platforms to give Operations against offenders. Automatic Number the operator a better view. Plate Recognition.
34 Safety and security TfL Annual Report and Statement of Accounts 2018/19 35 Our role is to deliver this strategy in make cycling and walking easier, more partnership with London’s boroughs, convenient options. businesses, local communities, consumer Delivering the Mayor’s organisations and many others. The The Mayor’s Transport Strategy covers ambitious plan will increase the three key themes and provides the Transport Strategy attractiveness of public transport and overall context for everything we do. Our work in 2018/19 has been Healthy Streets and healthy people aligned to the themes of the Investment will focus on reducing traffic and prioritising walking, Mayor’s Transport Strategy cycling and public transport use. This will enable Londoners to live active, healthy lives and help create a city that works well for its residents and visitors.
A good public transport experience
The right investment will ensure public transport is an attractive option. Having the right services where people need them, reducing crowding and keeping fares affordable will minimise car dependency.
New homes and jobs
Transport improvements are vital to the creation of new homes and jobs. Our investment will help to create communities where amenities are within walking and cycling distance and public transport is available for longer journeys.
The challenge The vision
London’s population is expected to rise During the 25 years covered in the Mayor’s to 10.8 million people by 2041 – creating Transport Strategy, we will need to be six million additional journeys every day. prepared for continuing advances in We must act to avoid growing congestion, technology and changes to the way we pollution and ill health. The aim is that, by live. We must secure fair and sustainable 2041, 80 per cent of trips will be by walking, funding models for investment in transport cycling or public transport. projects in London.
36 Delivering the Mayor’s Transport Strategy TfL Annual Report and Statement of Accounts 2018/19 37 Healthy Streets and healthy people
‘ We launched our Walking and Cycling action plans, which outline our strategy for achieving the Mayor’s ambition for 80 per cent of journeys to be made by walking, cycling or public transport by 2041. We have also taken action to clean up London’s toxic air, including the Ultra Low Emission Zone and Low Emission Bus Zones.’
Gareth Powell Managing Director, Surface Transport
38 Healthy Streets and healthy people TfL Annual Report and Statement of Accounts 2018/19 39 Healthy Streets and healthy people – a year of delivery Making London’s streets healthier
July 2018 Ahead of the In July 2018, we launched our action plan, in December we launch, there were In 2018, there Walking action plan, which launched our Cycling action Walking action were more than sets our ambition to make plan, the aim of which is to plan launched 300 London the most walkable see the number of cycling Ultra Low 10.5 million city in the world: the ultimate journeys double in the next September 2018 Emission Zone Santander Cycles goal is to have an extra one six years. Santander Cycles Cycleway 6 signs installed hires, a record across London number in a year million walking trips taking enjoyed a record-breaking extended place by 2024. year, with more than 10.5 million journeys made. November 2018 September saw Cycleway 6 December saw us present Five new Low extended, with a new 2.5km certificates to London We are working We released Emission Bus route between Farringdon schools, celebrating their with more than an extra Zones, taking the and King’s Cross, and London work in championing active total to seven went car-free for the day with and safe travel as part of 12,000 £24m schools in London to help black cab around 50 streets encouraged our STARS (Sustainable December 2018 as part of our drivers switch to to ditch the car and play, Travel: Active, Responsible, STARS programme electric vehicles meet, walk and cycle. Safe) programme. Cycling action plan In November, we launched In February 2019 a ban on Santander Cycles a further five Low Emission junk food advertising came record year There is a daily We have successfully Bus Zones, meaning that into force. average of launched more than there are now seven in place STARS programme altogether. November also An extra £24m funding was champions active 400,000 15km saw the arrival of our first made available to London’s and safe travel bus and tram of new Quietway in schools journeys made using cycle routes on less batch of 90 green Dial-a- black cab drivers to help them the Hopper fare busy streets Ride vehicles. These will give switch to electric vehicles. older customers and people In March, we launched the February 2019 with disabilities the freedom Freight action plan, which Junk food to make journeys across sets out ambitions to reduce advertising ban London in vehicles that meet road danger, and help clean up stringent air quality standards. London’s air. We announced March 2019 In the same month, Santander 11 new successful bids in our Freight action plan Cycles customers were able multi-million pound Liveable to use contactless payments Neighbourhoods programme. 11 new Liveable for the first time and work Neighbourhoods started to transform Old In April, we launched the Street Roundabout to create Ultra Low Emission Zone, the April 2019 a safer environment. world’s toughest emission The Ultra standard, operating 24 hours Low Emission Following on from the a day, seven days a week, in Zone launches publication of the Walking central London.
40 Healthy Streets and healthy people TfL Annual Report and Statement of Accounts 2018/19 41 The Walking action plan A new approach sets out how we can boost to support walking Walking action plan The Walking action walking in London, leading a plan committed to new targets to increase levels We described our ambitions for making culture change and promoting of walking, with specific ambitions for different London the most walkable city in the world its health benefits to all parts of London.
In central London, we aim to create attractive The plan, which was launched by London’s While walking is an easy and affordable way for Understanding walking in London places to improve the Walking and Cycling Commissioner Will people to integrate more physical activity into experience of walking, Norman in December 2018, sets out how we their daily lives, research shows that too many decluttering pavements will create a city where walking, for those are put off because of concerns about road The Walking action plan too much traffic (and and promoting walking that can, is the most obvious, enjoyable and danger or worries about their fitness levels. is underpinned by what fast traffic); concerns as an alternative to attractive means of travel for short trips. we knew about walking over personal security; crowded public transport The plan aims to address these barriers by in London. Through having other ways of and private vehicle use. Our ultimate goal is to make London the improving public spaces with more walking research carried out in travelling that work most walkable city in the world, with an routes and pedestrian crossings, prioritising 2018, we set out eight better; streets are not In inner London, we extra one million walking trips taking place walking in new infrastructure schemes, barriers that inhibit pedestrian friendly; not will bring change by every day by 2024. This is in line with the promoting walking in schools, and rolling Londoners from walking. being fit enough; road creating opportunities Mayor’s aim of increasing the number out innovative traffic signal technology that These are: not having danger concerns; and for new walking trips, of people who walk, cycle or use public makes it easier for people to cross roads. enough time to walk; having a disability. particularly to and from transport from the current rate of 63 per town centres; improving ClickVisit tfl.gov.uk/corporate/about-tfl/the-mayors- here to read the Walking action plan walking access to local cent to 80 per cent. intransport-strategy full (opens in browser) to read the action plan in full high streets and services, The action plan to key transport hubs and strategic interchanges; ‘ Whether you are Our Healthy Streets Approach improving interchange popping to the There are four main areas to the between inner London promotes safe and sustainable Walking action plan. The first, building bus services and walking shop or the station, and managing streets for people trips; and targeting inner travel, such as walking and cycling walking, expands on our research London trips to school. we’re investing that suggests people will walk more record amounts to if there are cleaner, more attractive The Walking action plan streets. The second, planning and will contribute to the make walking the designing for walking, can be achieved outer London vision by safest, easiest and if streets and places are better identifying opportunities designed, with slower traffic and for new walking trips, most enjoyable accessible walking routes. The third improving walking access is integrating walking with public to town centres and way to get around’ transport; and the fourth, leading a transport interchanges, culture change, means addressing reducing the impact of Will Norman the barriers to walking on streets traffic, and targeting trips Walking and Cycling and promoting the health benefits, to school, with a focus Commissioner particularly to schools and parents. on reducing car use.
42 Healthy Streets and healthy people TfL Annual Report and Statement of Accounts 2018/19 43 Cleaning the air we breathe London goes car-free for the day
The Ultra Low Emission Zone (ULEZ) is helping Air pollution costs Londoners were encouraged to play, meet, walk, Play Streets were set up across tackle London’s toxic air London up to cycle and enjoy their streets in September 2018 as part of World Car Free Day. Around 50 streets, 15 We ran an extensive awareness campaign ahead of the £3.7bn from Hackney to Ealing, were encouraged to boroughs launch of the ULEZ, the world’s toughest emissions every ditch the car and reclaim the streets from traffic. year in Greater standard, to ensure that drivers were aware of the changes Car-free streets also help people to feel safer London and could register their vehicles and check their status. and have a benefit on air quality. We supported In November, the first of more than 300 signs were London Play, a charity that works to help children installed at the same location as the existing Congestion play by closing roads to traffic during certain Charging zone signs, warning drivers that they are about times. The activity formed part of our wider to enter the ULEZ. We also sent more than 3.3 million work to make communities greener and healthier emails and contacted registered Congestion Charge users places to live, work and go to school. whose vehicles did not meet the new standards. Drivers could also use an online tool to see if their vehicle complied with the standard, with 3.2 million checks being made in lead up to the launch. The central London Ultra Low Emission The ULEZ will help reduce exhaust nitrogen oxide and Zone is set to reduce Green black cabs The first batch of 90 new, green particulate matter emissions, helping to improve air polluting emissions by quality and make central London a safer and more 45% Dial-a-Ride vehicles arrived in pleasant place. These positive effects will be especially London’s black cabs were beneficial to the young, older people and those who helped to become greener in November 2018. These new have respiratory problems, as well as residents of February 2019 with an extra vehicles are helping older high pollution areas. The majority of traffic entering £24m being made available to the ULEZ will be from outside the zone, which means help drivers make the switch customers and people with the benefits of cleaner, greener vehicles will be to electric vehicles. This more experienced across London. than doubled the existing disabilities to travel in London funding available.
More than 1,000 taxi drivers are set to benefit from £10,000 payments as part of the enhanced trade-in fund
44 Healthy Streets and healthy people TfL Annual Report and Statement of Accounts 2018/19 45 Understanding cycling in Delivering the plan London, bringing an evidence Our target in this plan Cycling action plan is to enable 1.3 million driven approach, and delivering cycle journeys to be made every day by 2024. In December 2018, we unveiled plans to the action plan itself are key to This will be supported by the £2.3bn funding for make cycling easier and safer for everyone enabling more people to cycle Healthy Streets included in our latest Business Plan. This investment underwrites many of The Cycling action plan sets out how we will improve Understanding cycling in London the actions in the plan; the infrastructure to make cycling more accessible, while ‘I’m delighted to be every action will need helping to address London’s poor air quality. The plan will the input, involvement see cycling journeys double over the next six years, through announcing some Achieving the vision of Our research also and enthusiasm of all measures such as new routes and quality standards. making London the world’s showed that almost half our partners. of the major new best big city for cycling is of Londoners are put Work on routes between Tottenham Hale and Camden, work that will dependent on four things: off cycling by the fear We need to work and Hackney and the Isle of Dogs is due to begin this year analysing the growth of of collisions, many feel collectively to achieve following consultations, as well as a number of other major start on cycle cycling, finding out who they are too unfit or old, the vision of this plan, routes being constructed from Tower Bridge to Greenwich routes across is cycling in London, and some simply feel and we must all embody and Olympia to Brentford. These new routes will need to identifying what stops public transport is more the step-change in meet six strict new quality standards, including volumes London next people from cycling and convenient for them. Every ambition that it heralds. and speed of traffic, numbers of heavy goods vehicles and year, and in what is the potential for day, there are more than Action and commitment collision risks at junctions. even more cycling. The eight million trips made will be needed from all introducing new number of Londoners by car, taxi, Tube and bus of our partners across ClickVisit tfl.gov.uk/corporate/about-tfl/the-mayors-transport-strategy here to read the Cycling action plan in full (opens in browser) cycling has more than that could potentially be the Capital. to read the action plan in full quality standards doubled since 2000. switched to cycling instead. for cycle routes, By delivering the Cycling action plan, we will not We are encouraging more people I’m determined An evidence-driven only be helping increase to take to two wheels as a way to to ensure every approach to cycling the number of people who enjoy the benefits travel sustainably around London Londoner feels of cycling, but also set comfortable and Using an evidence-led methodology the foundations for to plan for cycling, based on our London’s future success. safe getting on a new cycling model and analytical tools, focusing on unlocking the While our long-term bike, whatever their enormous potential for cycling in vision is for 2041, the time age, experience London, our targets are to: double to press ahead with action the number of cycle trips made on cycling is now, and the or background’ every day in London; and expand Cycling action plan marks the cycle network, increasing the an ambitious change in Sadiq Khan proportion of Londoners living the planning and delivery Mayor of London within 400 metres of the of cycling initiatives. London-wide cycle network.
46 Healthy Streets and healthy people TfL Annual Report and Statement of Accounts 2018/19 47 Extending our Cycling numbers on the rise cycling network Low emission buses
Santander Cycles enjoyed a record-breaking year in 2018, We launched five more Low Emission Bus Zones Five new zones: with more than 10.5 million journeys being made using Cycleway 6 was in November 2018, bringing the total number to • Camberwell to the scheme for the first time. There were more than extended in September seven. Only buses that meet the cleanest emissions New Cross 35,000 hires on Christmas Day alone, with riders cycling 2018, with a new standards are allowed to travel on the routes, which the equivalent of 65 return trips to the Moon through the 2.5km route between are in some of the most polluted hotspots. The • Wandsworth to course of the year. The daily average was also the highest Farringdon and King’s announcement is a key milestone for completing a St John Hill ever, with 29,500 hires every day. The number of hires Cross being officially total of 12 routes, with the remaining five expected made through the Santander Cycles app also increased opened by the Mayor. to launch ahead of schedule in 2019. • High Road Haringey in 2018, growing by 26 per cent compared to 2017. The extension means the to Green Lanes new Cycleway connects • A12 Eastern Avenue Elephant and Castle all to Homerton Road the way up to King’s Cross, passing through • Edgware Road Kilburn key transport hubs to Maida Vale such as Blackfriars and Farringdon stations. It Existing zones: brought the total length • Putney High Street of the route, which was delivered in partnership • Brixton Road with Islington and Camden councils, to 5km. The route was also made safer, as it includes segregated cycle lanes on Farringdon Road and new pedestrian crossings.
Easier payment to pedal 77 million Santander Cycles customers were Santander Cycles able to use contactless payments journeys since the scheme launched to hire the bikes in November in 2010 2018 when we modernised all 775 terminals to accept the payment method. This made it even quicker and easier to hire a bike, removing five stages of the payment process for turn up and go riders. To mark the announcement, we offered people free 24-hour access to Santander Cycles, by using a promotional code.
48 Healthy Streets and healthy people TfL Annual Report and Statement of Accounts 2018/19 49 Liveable neighbourhoods
In March 2019, we The latest borough • Brixton, Lambeth announced 11 new projects that will receive schemes that will receive funding are: • Freemasons Road, funding through our Newham Liveable Neighbourhoods • Shortlands, Bromley programme. The funding, • South Bermondsey, which increased to £53m • Holborn, Camden Southwark this year from £33m in November 2017, will be • Old Town, Croydon • Bow, Tower Hamlets used to transform areas Promoting a healthy appetite with new walking and • Enfield Town, Enfield • Ilford, Redbridge cycling infrastructure, pedestrian crossings and • South Chiswick, • City Cluster, A ban on advertising junk food on our network came public spaces. Liveable Hounslow City of London into force in February 2019. The ground-breaking Neighbourhoods is part measure is designed to help tackle child obesity and 40% of the Mayor’s £2.3bn means food and drink brands, restaurants, takeaways of children aged between 10-11 in London are overweight or obese overall investment to and delivery services will only be able to promote create Healthy Streets. healthier products. The ban followed a public consultation that found 82 per cent of Londoners supported a junk food ban, which was also backed by public health experts. It covers food and non- alcoholic drinks that are high in fat, sugar and salt.
Teaching a valuable lesson 686 STARS schools In December 2018, 28 schools from across achieved the London were celebrated for their work in Gold award championing active and safe travel. As part of our Sustainable Travel: Active, Responsible, Safe (STARS) schools programme, the highest performing schools were presented with certificates from the Mayor at City Hall as part of a special ceremony. The STARS programme is now in its twelfth year, with accreditation growing from 180 schools in 2007 to 1,465 in 2018. Schools are judged on their success in changing travel behaviour, with each school awarded a Bronze, Silver 1,465 schools or Gold accreditation. In 2018, 686 schools participating were awarded a Gold accreditation - more in our STARS than ever before. programme
50 Healthy Streets and healthy people TfL Annual Report and Statement of Accounts 2018/19 51 Old Street Roundabout
Work started in November Each year, there 2018 to transform Old Street are more than Freight action plan Roundabout to create an environment that is safer 2,000 for cycling and walking. The people killed or seriously injured How we will work with the industry to make project will see the northwest on our streets arm of the roundabout London’s deliveries safer and more sustainable close permanently to traffic, which will create a major new public space with better pedestrian and cyclist access Launched in March 2019, the Freight and A key part of the plan includes offering more to Old Street station. Traffic Servicing action plan sets out to transform click and collect points at Tube stations. will operate in a two-way how deliveries are made in the Capital, flow through the redesigned reducing road danger and helping to clean up A tender was launched to bid for space in junction, with fully segregated London’s toxic air. Lorries and vans currently our stations and open more parcel lockers cycle lanes and cycle-only account for around one fifth of road traffic across the transport network. We will make traffic signals. We worked in London and about one third in central land available for micro-distribution centres closely with councils and In recent years, London during the morning peak hours. in key locations to support sustainable last contractors to ensure the we have improved mile deliveries, and work with businesses work could start ahead of time The plan describes how the industry can to encourage them to offer ‘green’ delivery after the Mayor announced 27 work together to meet the freight needs of slots where shoppers can choose a time in August that he wanted the unsafe junctions London, while reducing the number of lorries when drivers are already in their area. Old Street Roundabout will be transformed project brought forward. across London and vans entering central London during the ClickVisit tfl.gov.uk/corporate/about-tfl/the-mayors- here to read the Freight and Servicing morning peak by 10 per cent by 2026. actiontransport-strategy plan in full (opens to read in the browser) action plan in full
Encouraging more women to cycle ‘ As London The movements of goods vehicles continues to grow, in the Capital have increased by New research published in not to cycle, which include we need to keep September 2018 explained the the fear of being involved in a 4% around 20 per cent since 2010 barriers that prevent more collision, concerns around traffic increase since 2016 freight moving women from cycling. While and not feeling confident. The in the number of women who while tackling toxic cycling has grown faster than conference saw more than 120 regularly cycle any other form of travel over participants review progress air, congestion and the past ten years, with more towards removing these barriers. reducing danger than 730,000 bike journeys every Together with the boroughs, day, only 10 per cent of women we run a number of initiatives, to vulnerable in London cycle regularly. such as cycle training and road users’ The research, announced as Cycling Grants London, which part of the Women in Cycling supports community groups Alex Williams Conference, described the through training sessions and Director of reasons why women choose guided rides. City Planning
52 Healthy Streets and healthy people TfL Annual Report and Statement of Accounts 2018/19 53 A good public transport experience
‘ We entered the third year of the Mayor’s freeze on fares for our services, which will help the average household save around £200 by 2020. We have also worked to ensure our network becomes increasingly inclusive for all our customers, with five more Tube stations becoming step-free through 2018/19.’
Vernon Everitt Managing Director, Customers, Communication and Technology
54 A good public transport experience TfL Annual Report and Statement of Accounts 2018/19 55 A good public transport experience – a year of delivery We continue to improve our services to keep London moving and growing
In April 2018, we marked the 24-hour weekend Underground April 2018 first anniversary of the Please service and showed that Priority Seating There have been The average London Across the Tube household will save offer me a seat campaign by there were almost 17 million Week launched more than network there are launching our first Priority journeys made in the first two 44,000 £200 78 Seating Week. This was June 2018 years and that the Night Tube Please offer me a by the year 2020 as a step-free stations, designed to make it easier was projected to contribute TfL app updated seat badges issued result of the Mayor’s improving access to travel for people with £1.54bn to the economy in since it launched freeze on TfL fares for more people conditions that may not be the next ten years. July 2018 immediately obvious. Trams go cashless The DLR Discovery tours, In June, we updated the TfL which ran between August Journey Planner There have been updated There have been more than app to enable customers using and September, offered more than contactless payment cards to customers the chance to take 17m view their journey history and a guided tour through east August 2018 220m journeys made check payments. London, from Tower Gateway Wonderful World journeys made using the Hopper using our Night to the Cutty Sark. of Off-Peak fare since it launched in 2016 Tube services In July, London Trams went cashless. The old ticket The Hopper fare celebrated Economic impact machines, which did not its second anniversary in of Night Tube accept Oyster cards, were September and in November, DLR Discovery In March, there There are now removed following extensive the Mayor announced that were more than more than consultation. Also in July, we fares would remain frozen on September 2018 2,000 200 added information on pay as TfL services for the third year Hopper fare attendees to our step-free stations you go journeys to our Journey in a row. anniversary Access All Areas across our total Planner and open data feed. event at the ExCeL transport network We signed a contract with November 2018 We teamed up with Time Out Siemens Mobility Limited magazine through the summer in November to design and Fares frozen to encourage people to get build 94 new generation Tube Siemens Mobility out and explore London using trains for the Piccadilly line contract signed cheaper off-peak services. and a new hi-vis vest for Tube The Wonderful World of staff featuring the words January 2019 Off-Peak campaign ‘Here to help’, was launched Winners of highlighted the benefits of in February 2019. Women We See travelling outside peak hours. In March, we showcased the February 2019 In August, we published the latest in accessible travel at our research on the economic Access All Areas event at ExCeL Launch of ‘Here impact of the Night Tube. London, with more than 2,000 to help’ vest The report coincided with the people attending, and many second anniversary of the more viewing the live stream. March 2019 Access All Areas
56 A good public transport experience TfL Annual Report and Statement of Accounts 2018/19 57 Access for all The wealth of disabled people’s talents can only be harnessed through good accessible transport
In March 2019, we ran our second Access All Areas accessible There are more than Record number of transport event at the ExCeL. This brought together step-free stations customers, transport leaders and technology experts to 200 step-free discuss the future of accessible travel and demonstrate the stations We made five more London latest innovations. As well as the exhibition, where guests Underground stations could learn about the latest developments and discover the step-free in 2018/19, improving different options that are already available, there were also access for older customers, keynote speakers and a series of workshops. 84% disabled people or those with luggage or buggies. This of disabled There are more than 200 step-free stations, including 58 Londoners say brought the total number London Overground stations, six TfL Rail stations and all DLR their disability of step-free stations to 78. stations and Tram stops. When the Elizabeth line fully opens, limits their These stations were: all 41 stations will be step-free from street to platform. ability to travel
Making it easier to get a seat Buckhurst Hill MAY Around 2,000 people attended ‘ Bringing together the best and We launched a Priority Seating Week to mark the first Access All Areas, while many anniversary of the Please offer me a seat badge in April most innovative Victoria more joined through social media 2018. The campaign aimed to make travelling easier for OCT examples of people with a range of conditions whose needs may not be immediately obvious. We displayed posters across accessible transport the network that included pregnant women and people with visible and invisible conditions, sharing their gave customers Newbury Park experiences and highlighting the difference it makes NOV and professionals to be able to get a seat. We also displayed newly designed priority seating signs the chance to share on selected London Overground and feedback and learn Underground trains. We worked Finsbury Park with various organisations on this JAN from each other’ campaign, including Anxiety UK, Epilepsy Society, Christopher Nicola Lupus UK, Cancer on South Woodford Partnerships Lead, Board and the Thomas MAR Information, Design Pocklington Trust. and Partnerships
58 A good public transport experience TfL Annual Report and Statement of Accounts 2018/19 59 ‘ We have been Improvements to What a wonderful world surface transport working hard to improve journey We launched a major advertising times on the TfL campaign in the summer to The performance of the bus network continues at road network. encourage Londoners and visitors an all-time high. In the past three years we have seen to explore the Capital through the improvements made on excess waiting time and Our buses are ‘Wonderful World of Off-Peak’ bus reliability, while bus speeds are also stabilising. travel. We partnered with Time Out This has been achieved through effective operation more reliable on the campaign, which highlighted of our roads, including managing disruption, than ever and the benefits of travelling in the resolving issues and retiming traffic light timings. off-peak times, and produced a more people series of cultural maps, showing We have saved more than 16,900 customer hours are choosing the attractions close to public per day for people choosing sustainable modes transport stations. These included of travel, as a result of changes made to almost sustainable and museums, galleries and street art. 800 traffic signals. active ways to We also ran promotional features in Time Out. Based on the rolling 12-month average, daily travel. We will central London cycle flow is at the highest it has ever been and we have seen record hires using continue to make Santander Cycles, with more than 10.9 million our network hires during 2018/19. safer and more productive Hopper fare success Fares freeze keeps travel affordable as we seek to The Hopper fare celebrated grow services in its second anniversary in Fares on TfL services were frozen for the third year September 2018, when it was running. The move was announced by the Mayor in outer London’ revealed that more than 220 November 2018 as part of his four-year freeze promise. million Hopper journeys had The move keeps the cost of bus and tram fares the been taken since it launched same as in 2016, while Tube, DLR, the Emirates Air Line Gareth Powell in 2016. The fare enables and rail services where TfL fares apply are all frozen, Managing people to make as many as is the cost of hiring a Santander Cycles bike. Director, bus and tram trips as they Surface Transport like within an hour of first The average household touching in for just £1.50. will save £200 by 2020 as a result of our fares freeze
60 A good public transport experience TfL Annual Report and Statement of Accounts 2018/19 61 Here to help Improved digital services
A new modern vest for An update to the TfL app, which was rolled out in our London Underground June 2018, enabled customers using contactless staff, which was unveiled in payments cards to view their journey history and February 2019, made them check their payments. Contactless payments have easier to spot. The reversible been a huge success in London, with half of all tabards pair the standard Tube and rail pay as you go journeys being orange hi-vis with a red vest made using contactless cards or mobile devices. that features a ‘Here to Help’ We also added information on pay Cashless trams message on the back. They as you go journeys to the Journey were launched following Planner in July. London Trams went recommendations by London cashless in July 2018, TravelWatch on how we could with ticket machines improve customer service. being removed and more validator points The Me. No. Pause Advertising success campaign from installed. The ticket Holland & Barrett machines, which were Together with City Hall, we won the top prize New vests 18 years old and did not announced the winner of the of £500,00 worth of show we enable customers to top Women We See competition in advertising space are ‘Here to Help’ our up their Oyster cards, January 2019, which was launched customers were removed following to encourage advertisers to an extensive public create more positive and inclusive engagement process. campaigns. Holland & Barrett’s ‘Me. No. Pause’ campaign scooped the top award, while Mothercare was runner-up with its adverts depicting mothers. Delayed delivery of new London Overground trains
We were left frustrated by the delayed Together with the Mayor and Deputy Mayor, delivery of new electric Class 710 trains for we continue to press Bombardier to deliver the Gospel Oak to Barking line of the London a fully operational fleet as soon as possible. Discover the DLR Overground. The new trains were due to be in We also announced that customers on service in 2018, but in January we announced the affected line would receive a month’s contingency plans to run a mixed fleet on free travel once the new trains Londoners and visitors were the line after manufacturer Bombardier are introduced. given the chance to enjoy a Transportation revealed that further testing new experience in east London and software updates were needed before in August and September 2018 the fleet could be released for driver testing. as part of the DLR Discovery tours. The initiative, which We ran a number of modified electric trains we ran in partnership with on the line, alongside the current fleet of KeolisAmey Docklands, diesel trains, which has had its lease extended enabled ticket holders to twice since summer 2018. However, services take a guided tour from were affected, with trains running every Tower Gateway to Cutty Sark. 30 minutes on weekdays on the line. DLR customers were given the chance to discover east London’s secrets
62 A good public transport experience TfL Annual Report and Statement of Accounts 2018/19 63 Boost to the night economy ‘ A record number The Night Tube Journeys made at night Record performance on Research published on the second supports more than have been cut by around London Underground of customers anniversary of the Night Tube showed travelled on the that the service has been an even bigger 3,900 20 minutes success than first anticipated. Demand jobs in many sectors as a result of our Night Tube this year. across London Tube services for the Night Tube grew from 7.8 million The number of journeys made on the London We have worked customers in its first year to 8.7 million Underground increased again, with 1.4 billion in 2017/18. There were almost 17 million journeys taking place over the year. During the hard to ensure journeys made in the first two years first week of December 2018, we had our busiest of the Night Tube, well above the 14 ever week, with Friday 7 December seeing a journeys are million we originally forecast. A report record ridership of 5.043 million journeys on safe, reliable, and from London First and EY, published in that day alone. We ran 85 million km, the most August, showed that Night Tube services service we have ever run for our passengers, and comfortable and are projected to contribute £1.54bn to reduced the amount of time it took customers the results from London’s economy over the next 10 to complete their journeys across our network. years, double the initial projections this year are hugely made before its launch. encouraging. There are more accessible stations than ever before and this number will continue to rise over the coming years as we continue our step-free programme’
New Tube trains on track Nigel Holness Managing In November 2018, we signed a contract with Siemens The new Piccadilly Director, London Mobility Ltd to design and build 94 new generation line trains will enable Underground up to 27 trains-per- Tube trains for the Piccadilly line, which will replace the hour to operate at existing 1970s fleet. These state-of-the-art trains will peak times by the feature wider doors and longer, walk-through carriages. end of 2026. This is a train every They will also be fully air-conditioned and feature 135 seconds at the in-train information systems. The first of the new busiest times. trains are estimated to be in service from 2024.
64 A good public transport experience TfL Annual Report and Statement of Accounts 2018/19 65 New jobs and homes
‘ Our developments and projects continue to support the creation of new homes and jobs across London. In the past year, we have brought a number of sites to market to build new, affordable homes and supported small business tenants on our estate. We have also embarked on another successful apprenticeship programme.’
Graeme Craig Director of Commercial Development
66 New homes and jobs TfL Annual Report and Statement of Accounts 2018/19 67 New homes and jobs – a year of delivery Our transport services will support the development and growth of London
In June 2018, London In 2018, the Federation of June 2018 Community Land Trust was Small Businesses called London We partnered with Of all the homes we brought chosen to deliver flagship on landowners in London Community Land Pocket Living to build to market since 2016 community-led housing on to publicly show their Trust was chosen 125 50% two sites brought forward to deliver housing commitment to small one-bedroom homes have been for social by us as part of the Mayor’s businesses and proactively on two sites on our land, to be rent or will be work to boost small builders support them, so that they sold at a discount genuinely affordable in the Capital, and to increase can flourish in the Capital. August 2018 the supply of new, genuinely We were the first landlord Three car parks in affordable homes. to respond to this call, Harrow brought publishing our Statement of In total, we will In our commercial to market to Following this, in August 2018 Support for Small Businesses create around estate, more than deliver 400 we announced that we were in December 2018. new homes 300 90% bringing three car parks in the jobs through our of our tenants are London Borough of Harrow The same month, the Blackhorse Road made up of to market. The development green light was given to us October 2018 development project small businesses of these car parks at Canons to build hundreds of new Pocket Living Park, Rayners Lane and homes, working with Barratt to provide Stanmore Tube stations will London. The Blackhorse Road affordable homes support the creation of at development in the borough In total, we With our Steps into StreetDots manage around Work programme least 400 homes, of which 100 of Waltham Forest is a 1.8 to enable small per cent will be affordable. acre site that will deliver businesses 2,000 12 around 350 homes, half of to trade at commercial units, people were offered October saw a partnership which will be at social rent transport hubs supporting a range of vocational study and between us and Pocket levels or available for different businesses work placements Living to provide 100 per cent shared ownership. genuinely affordable homes December 2018 for first-time buyers at a With the turn of the year, in Statement of number of its sites. January 2019, our Steps into Support for Small Work programme kicked off Businesses Also in October, we teamed once more, with us offering 12 up with StreetDots – an people with mild to moderate Green light online trading platform – to learning disabilities and those given to build enable small businesses on the autistic spectrum a new homes at to trade at transport hubs. combination of vocational Blackhorse Road Vendors can book pitches at study and work placements. several locations, including The course covers everything January 2019: Hammersmith and North from customer service to IT We kicked off our Greenwich, which can be and teaches the skills needed Steps into Work booked for just a few hours for employment. programme at a time.
68 New homes and jobs TfL Annual Report and Statement of Accounts 2018/19 69 Delivering new homes We have released a number of sites that will be used for building new affordable homes
Our plan to release land for the development of new homes 400 Our commitments to continued in 2018/19. In June 2018, the Mayor announced that new, affordable homes small businesses include: London Community Land Trust would develop two of our will be created at three sites at Cable Street in Tower Hamlets and Christchurch Road sites in Harrow • Create a small business policy in Lambeth. These sites will deliver around 70 new homes, Support for small businesses all of which will be affordable. The sites also form part • Simplify our leases of the Mayor’s Small Sites, Small Builders initiative, which • Be open and transparent supports builders that deliver fewer than 100 homes. Our Statement of Support for small businesses • Ensure each tenant set out a commitment to small and medium sized has a dedicated We have brought sites property manager In August 2018, we announced that we will bring three car parks to market that could enterprises and underlined our understanding that at Canons Park, Rayners Lane and Stanmore Tube stations to deliver almost they are drivers of growth in London. Published • Encourage and help market. These Harrow sites will support the creation of at ahead of Small Business Saturday on 1 December tenants to seek guidance least 400 homes, all of which will be affordable. They will be 5,000 2018, the document explained how we can enable and support built alongside retail, commercial and leisure spaces, as well new homes small businesses to thrive, and stressed the • Survey tenants’ as improved pedestrian and cycling connections in the area. since 2016 importance of the landlord-tenant relationship. satisfaction annually
‘Blackhorse Point We got the go ahead to build 350 will provide the new homes at Blackhorse Road Saving the high streets housing that the We published a report in Town centre borough and November 2018 that showed improvements led to a London need, how improvements to walking and cycling facilities can boost while generating 93% the high street. The research increase in revenue to reinvest showed that people who walk, footfall on cycle or use public transport high streets back into the spend 40 per cent more in their local shops than those driving transport network’ cars. The report assessed the impact of improvements, such as Graeme Craig widened footpaths and new public Director of Commercial squares in areas such as Bromley, Development Hornchurch, Clapham, Woolwich and Walworth Road.
70 New homes and jobs TfL Annual Report and Statement of Accounts 2018/19 71 StreetDots partnerships
We announced a new partnership in October 2018 with online street trading platform StreetDots, giving small businesses the chance to trade at transport hubs across London. The project enables customers to buy street food and coffee from mobile retailers. There are pitches, or dots, at several locations, including North Greenwich and Hammersmith, which can be booked for a few hours at a time. The partnership aims to make it easier for traders to find a pitch, while also introducing customers to new brands.
We offered Taking positive steps 12 placements as part of ‘ Steps into Work the 2018/19 gives people We welcomed the latest intake Steps into Work programme onto our Steps into Work the chance to programme in January. Working alongside Barnet and Southgate experience work, College and employment specialist who otherwise Remploy, we offered placements to people with mild to moderate may struggle to learning disabilities and those take the first steps on the autistic spectrum. The 12-month programme involves into employment’ a combination of vocational study and work placements, in Imran Hussain everything from customer service Skills and to IT, with a curriculum designed to Employment Advisor teach the skills for employment.
Barking Riverside extension The extension will Pocket living will see Pocket Living support up to build around 125 one- bedroom homes, subject In December 2018, we awarded a contract to a joint venture 10,800 In October 2018, we to planning, on our land, of Morgan Sindall Construction & Infrastructure and new homes announced a partnership which will then be sold at VolkerFitzpatrick to extend the London Overground to with Pocket Living a discount. The homes will Barking Riverside. The 4.5km extension between Gospel Oak to provide genuinely be prioritised to people and Barking is an essential part of the development, which affordable homes for first- who already live or work in will become one of London’s most significant housing time buyers at a number of the borough and are first- developments. Train services should start from late 2021. our sites. The agreement time buyers.
72 New homes and jobs TfL Annual Report and Statement of Accounts 2018/19 73 Our people
‘ We continue to develop our workforce to ensure it is representative of the city we serve. We showcased women in transport for a celebration of International Women’s Day and supported campaigns such as Pride in London and Poppy Day.’
Tricia Wright Chief People Officer
74 Our people TfL Annual Report and Statement of Accounts 2018/19 75 Our people – a year of delivery Our people work to ensure London has the transport service it needs
In April 2018 we launched poppy roundels at Tube and April 2018 a Diversity and Inclusion Overground stations. Diversity Of our total Almost a quarter of In June, we dashboard, building on our and Inclusion workforce, we have our workforce celebrated the Gender Pay Gap and Ethnicity In the New Year’s and dashboard 26.4% 23.5% 70th Pay Gap reports to build Birthday Honours, the Queen who identify as are women, and we anniversary of the a more complete picture recognised our staff by June 2018 black, Asian or continue to work to Windrush with a of the experiences of our making our Head of Media, We supported minority ethnic increase this figure series of poems employees. We are working Victoria Harrison-Cook an our LGBTQ+ staff to reduce the imbalance of MBE for services to diversity during Pride gender and ethnicity in our in public relations and Sam workforce to become more Mullins, Director at London September 2018 In September, we celebrated representative of London. Transport Museum an OBE. 50th anniversary Alan Johnson, a Programme of the opening of 50 years Our Poems on the Manager, was awarded a BEM. the Victoria line of the Victoria line, which first Underground programme ran from Walthamstow Central showcased poems for In January 2019, we celebrated November 2018 significant events. This included 150 years of the District line, a collection of Caribbean with information at stations We supported verses in June to mark the displaying the history of Poppy Day The District line 70th anniversary of Windrush the service. through a number celebrated its and the commemoration of of initiatives the centenary of the First International Women’s Day 150 December 2018 year anniversary in World War in November. 2019 in March was marked by January 2019 with a a series of posters showing Victoria Harrison- series of events In July, we supported our women doing a range of jobs Cook receives an LGBTQ+ staff and customers within the transport industry. MBE for services by updating our rainbow Victoria station was also to diversity in roundels with the hashtag staffed by an all-female team public relations #EveryLoveMatters and in for the morning. September we celebrated January 2019 the 50th anniversary of the We continue towards our We celebrated opening of the Victoria line. Business Plan commitment 150 years of the of further reducing our back District line In November 2018, we worked and middle office costs over with Royal British Legion to the next three years by 30 March 2019 commemorate Poppy Day per cent. This is critical to International by decorating a series of achieving a surplus after the Women’s Day buses, trams, DLR trains and cost of day-to-day operations, 2019 is marked some Santander Cycles with including renewals and net by a series poppies, as well as displaying financing costs, by 2022/23. of posters at Victoria station
76 Our people TfL Annual Report and Statement of Accounts 2018/19 77 Women at the forefront Celebrating diversity We celebrated International Women’s Day in March 2019 by Striving to make our workforce more showcasing some of the women that help us to keep London representative of the city we serve moving. We created a series of posters that showed inspirational women doing a range of jobs in the transport industry, including Our Gender Pay Gap and launched our first Diversity Steps in the customer service assistants, Ethnicity Pay Gap reports and Inclusion dashboard, right direction project managers, engineers and set out how we are working which provides further apprentices. There was also an to close the gap between data and insight and gives all-female team staffing Victoria the salaries of men and a more complete picture We feel it is important to station throughout the morning. women, and black, Asian of employees and their reduce the imbalance of gender or minority ethnic experiences. We have also and ethnicity in our workforce. (BAME) and white staff. taken steps to help women However, the results of our This includes using our and people from BAME pay gap reports highlight Scorecard to set targets communities to access that there is still work to do Recognising that can be regularly senior, higher paid roles to become fairer and more our people monitored throughout and have widened access representative of London. the year. In April 2018, we to mentors and coaches. More women have joined Our staff were recognised us over the last 12 months in the Queen’s New Year’s and we have improved the and Birthday Honours this proportion of women in year. Head of Media in We have worked to ensure women senior roles by 11.5 per cent. our Press Office Victoria and BAME colleagues are given the However, we recognise that Harrison-Cook received our gender pay gap is heavily an MBE for her services opportunity to access senior roles influenced by the fact that to diversity in public women tend to hold roles relations. Sam Mullins, in the lower pay grades and Director at London there are simply not enough Transport Museum, women in senior positions. Celebrating with Pride received an OBE in We produced a the New Year, while roundel in the Our analysis of our operations We showed our support for trans colours Programme Manager shows that women are more the LGBTQ+ community as part of pink, blue Alan Johnson was likely to be employed in the of Pride in London in July 2018 and white recognised lower paid grades. This has by transforming the transport with a BEM. a significant impact on our network with the colours of the overall median gender pay Pride and Trans flags. Our rainbow levels. For example, the median roundels were updated with the male operational salary is hashtag #EveryLoveMatters. Victoria Harrison-Cook around £47,000 compared to We also decorated benches at received an the median female operational Shoreditch High Street station in MBE this year salary of around £38,000. the rainbow and trans colours.
78 Our people TfL Annual Report and Statement of Accounts 2018/19 79 Tube anniversaries
A fitting floral tribute In January 2019, we marked the 150th anniversary of the District line. We produced We teamed up with celebrities including heritage displays and leaflets Shane Richie, Lesley Joseph and Jo Brand to telling the history of the Museum Transport © London support Poppy Day in November 2018. The line, which initially consisted celebrities recorded announcements for the of just five stations but Underground to encourage customers to give now has 60, which is more generously to the British Legion campaign. We than any other line on the also decorated roundels with poppies, which Underground. We also were displayed at ten Tube stations and four announced plans for steam Overground stations, while buses, trams, the train rides along the line later DLR and even a number of Santander Cycles in the year. We also celebrated 220m were covered in specially designed poppy vinyls. 50 years of the Victoria line in journeys September. The first train left taken on the Walthamstow Central station District line on Sunday 1 September 1968. every year The District line celebrated 150 years in January
Keeping our people safe
We continue to focus on staff safety and wellbeing and in March 2019, we held a Peer Support Network Conference at City Hall to recognise staff volunteers who provide mental health support to colleagues. Working closely with Occupational Health, our peer support volunteers help deliver Poems on the Underground our health and wellbeing strategy across the organisation.
The poetry scheme Our Poems on the and featuring poems by was launched in In the same month, we held a summit Underground programme Jamaica’s Poet Laureate on workplace violence and aggression. celebrated a number Lorna Goodison. We 1986 Unfortunately too many colleagues still of significant events also commemorated to showcase experience aggression and violence while throughout the year. the centenary of the work to they are doing their jobs. At the summit, These included a new First World War in a wider we brought together staff, operators and range of Caribbean November 2018 with a audience other key stakeholders from across the verses, launched in June series of poems that organisation, to discuss the issues faced 2018 to mark the 70th pay homage to those by colleagues and generate ideas for anniversary of Windrush affected by conflict. tackling the problem.
80 Our people TfL Annual Report and Statement of Accounts 2018/19 81 Reducing our costs
We continue to make significant changes We have made significant progress to how we run our organisation. This is part by removing duplication, reducing of our programme to management layers and streamlining teams identify more efficient ways of working and deliver our Business Plan commitment of reducing our back and middle integration opportunities We will continue to office costs over the next across the organisation. We scrutinise all of our activities three years by 30 per cent. have created a single Business to identify opportunities This is critical to achieving Services function, bringing to cut operating costs. a surplus after the cost together operational activity This includes continuing of day-to-day operations, from Finance and Human to modernise the London including renewals and Resources. This will enable us to Underground, driving greater net financing costs, streamline common processes, efficiency from our supply by 2022/23. identify other ways to deliver a chain and reviewing and better service at reduced cost re-tendering bus contracts. In 2018/19, like-for-like and standardise reporting. operating costs reduced for the third consecutive year. Total operating costs were £345m We have cut costs by reducing the lower than budget. Our next apprentices Since 2009 overall number of posts by 1,176 8,750 ‘ I considered going Significant change has to university, but my enabled us to remove We began our search for our apprenticeships duplication, reduce have been created next apprentices in January, with by us, Crossrail, apprenticeship gave management layers more than 130 places on offer our suppliers and streamline teams. across a range of schemes. The and the London me the opportunity In 2018/19, we worked apprenticeships cover everything Transport Museum to study for the with the trade unions to from engineering to project review 20 more business management, including two same degree while areas and 2,100 roles. This new schemes, one in building gaining experience has contributed to an services and another in vehicle overall reduction in the maintenance. A number of in the workplace’ number of posts by 1,176. the schemes, including Civil Engineering and Commercial Leah Rawlins We have been looking Property, also offer the chance General Management to improve end-to-end to study for a degree as part of apprentice processes and identify the apprenticeship. further structural
82 Our people TfL Annual Report and Statement of Accounts 2018/19 83 Remuneration Report Introduction
My role is to ensure that TfL has an costs, by 2022/23. The team has appropriate remuneration policy to materially beaten its financial recruit and retain senior employees targets and delivered another with the capability and experience year of reduced like-for-like to lead the organisation and deliver operating costs. Savings in the Mayor’s objectives. previous years have focused on reducing and simplifying This Annual Report sets out what the organisation’s senior TfL has delivered over the last management and reducing year, alongside vital work to turn costs at an individual divisional around a long-standing net cost of level. The number of senior operations deficit and so establish managers who earned more a sustainable financial position. than £100,000, including one-off The challenges around this have payments, has fallen by 17 per Ben Story been very significant. There has cent this year. Chair, TfL been a subdued economy, which Remuneration has put pressure on demand for The next phase of savings Committee TfL services. The organisation is will come from delivering adjusting to the removal of the efficiencies, including Government operating grant, reducing the cost of back and which provided around £700m middle offices by 30 per cent. per annum, while the delay to the We expect to see further one- opening of the Elizabeth line was a off implementation costs as serious blow given the impact on the management team take capital expenditure and operating these costs out over the next revenues. It is essential that we year. We will be working with can attract and retain the right them to deliver the programme leadership to see the organisation as efficiently as possible. through this critical period, while keeping London moving, working The committee is charged with and growing. setting a policy that enables TfL to compete in a global TfL’s organisational change market to secure the right programme is central to reducing talent, while delivering value cost and raising more revenue to hit for money. We feel we have the target of achieving a surplus after an appropriate and balanced the cost of day-to-day operations, approach to rewarding senior including renewals and net financing staff that meets that goal.
84 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 85 Governance
Remuneration Committee Remuneration Committee DfT, as co-sponsors, should agree changes and senior appointments and how we members role and responsibilities to the procedures around and oversight of proposed to improve the diversity and remuneration of senior Crossrail staff, which inclusivity of senior talent. Ben Story (Chair) Remuneration policy is set by TfL’s is currently being considered. Kay Carberry CBE (Vice Chair) Remuneration Committee to attract and The Committee also commissioned a Heidi Alexander* retain the highest calibre individuals to new remuneration benchmarking report, Ron Kalifa OBE successfully manage a large and complex Dates of meetings during 2018/19 which will be available later in 2019. The business, while being mindful of its status roles covered have been expanded to * Heidi Alexander was appointed as a public sector organisation that is While Committee members met informally include directors who also sit on the to the Remuneration Committee from 26 July 2018 principally funded by fare payers. on several occasions during the year, it met TfL Executive Committee. formally on three occasions: 13 June 2018, The Committee’s full terms of reference 7 November 2018 and 23 January 2019. Throughout the year, the Committee has been are published on the TfL website and responsible for approving salaries of £100,000 Members who left essentially involve the review and setting or more for any new appointments. during the year of the remuneration of the Commissioner, Activities of the Remuneration Managing Directors, General Counsel, Chief Committee during 2018/19 The TfL Scorecard is approved by the TfL Baroness Grey-Thompson DBE Finance Officer and other direct reports of Board each year and details our key priorities, left TfL on 2 September 2018 the Commissioner. The Committee also helps In June 2018, the Committee reviewed overall providing an objective method for tracking to review the remuneration strategies for performance against the TfL and individual performance. We use 20 measures, which Valerie Shawcross CBE stood down the entire senior manager group, particularly scorecard areas for 2017/18. Final performance have been developed to provide a clear link on 25 July 2018 regarding performance related pay. awards for the most senior employees were between the long-term vision of the Mayor’s also agreed. Transport Strategy, our five-year Business The remuneration of the Chief Executive Plan and our annual Budget. of Crossrail is determined by the Crossrail During 2018/19, the Committee reviewed our Remuneration Committee. Crossrail is a pay gap analysis, with a particular focus on The measures keep us focused on the overall wholly owned subsidiary of TfL with its own gender and ethnicity. While further material objective for 80 per cent of journeys to be independent governance arrangements. These progress is required to ensure TfL is truly made by walking, cycling or public transport include a board comprising executive and representative of the city it serves, overall by 2041 and are aligned with the three key independent non-executive directors, as well good progress is being made in creating a themes of the Mayor’s Transport Strategy: as two non-executive directors appointed by more diverse organisation. The most recent TfL and the Department for Transport. data for 2017/18 shows that more women • Healthy Streets and healthy people have joined TfL, and we have improved the The Crossrail Remuneration Committee proportion of women in senior roles by 11.5 • A good public transport experience has been re-formed as a Remuneration and per cent. There has also been an overall Nominations Committee. It operates to its increase in the number of black, Asian and • New homes and jobs own contractually agreed remuneration minority ethnic employees. principles and framework, rather than These are also grouped into four key areas the TfL remuneration framework. The At the November meeting, the committee of Safety and operations, Customers, People, recent review by KPMG of Crossrail’s reviewed our approach to talent through and Financial, with each carrying an equal governance recommended that TfL and succession planning, workforce planning weighting of 25 per cent.
86 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 87 Policy
Component Purpose Operation Maximum
Board remuneration General remuneration Base pay To reflect the The following factors are taken There is no prescribed maximum individual’s role, into account: salary. There will be no Board members receive a basic fee of Our general policy is to provide remuneration experience and increases to base pay (where contribution. • Remuneration benchmark the accountabilities for the £16,000 per annum. Additional fees are that attracts, retains and motivates individuals Set at a level to information from a specific role remain unchanged) for paid for each appointment to a committee of the right calibre to manage a large, complex attract and retain peer group to identify a market the Commissioner, Managing or panel, up to a maximum total organisation. Remuneration packages reflect individuals of the median range of base pay which Directors, General Counsel, remuneration of £20,000 per annum. responsibilities, experience, performance and calibre required reflects what TfL’s Commissioner, the Chief Finance Officer and to lead a business Managing Directors, General Directors during the Mayor’s the market from which we recruit. Counsel and Chief Finance The additional fees are paid at the rate of of TfL’s size and current term in office. complexity. Officer would receive if they £1,000 per annum as a member and £2,000 The reward structure that has been developed were to work in a similar role in per annum as the Chair of a committee or is commensurate with this policy. It includes another company of similar size, panel. Members are also entitled to receive a base salary and a performance award complexity and scope free travel on the TfL transport network. scheme against the achievement of a range • The scope and responsibility No allowances are paid to members. of public transport, customer, people and of the role financial targets. • The individual’s skill, experience Any expenses claimed by members, in and performance against targets relation to fulfilling their role as a TfL The main objective of the remuneration board member, are published on the board policy is to ensure that reward is based on • Affordability for TfL members page of our website, along with performance to drive delivery while ensuring details of any gifts or hospitality received. that the overall reward package is affordable. Performance To incentivise Performance awards are calculated The maximum award for the related pay delivery of using a matrix which sets out Commissioner is 50 per cent The remuneration for each member for stretching the percentage performance of base pay. the year ended 31 March 2019 is shown Executive remuneration one year key award an employee will receive in appendix 5. performance based on a combination of The maximum award for The base pay and the total remuneration of the targets (both the scorecard result and their Managing Directors, General No fee is paid to the Chair or Deputy Commissioner, Managing Directors, General individual and individual performance rating. Counsel and the Chief Finance collective) Chair of TfL. Counsel, Chief Finance Officer and other Officer is 30 per cent of as measured Depending on the business area base pay. direct reports of the Commissioner is set by through individual an employee works in, either the Remuneration Committee, which uses performance the TfL Scorecard alone or a external benchmarking and other comparative rating and combination of the TfL Scorecard scorecard results. and the Delivery Business information to determine remuneration. This is Scorecard sets the budget broken down into the following components: available for performance awards.
An employee’s contribution, in the form of a personal performance rating, determines the percentage performance award received from the available budget using a multiplier approach.
Awards are paid in the following financial year.
88 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 89 Performance related pay Component Purpose Operation Maximum The TfL Group scorecard below shows the performance targets for 2018/19, aligned to our Benefits To provide a The Commissioner, Managing Pensionable salary is capped 2018/19 Budget. The scorecard is balanced against four areas with each area receiving a 25 per competitive total Directors, General Counsel and at £160,800 from 6 April 2018 cent weighting, reflecting their equal importance to our delivery for London. The table shows reward package Chief Finance Officer receive for members who joined after the measures used to determine any performance related pay. that supports the same core benefits as all 31 May 1989. attraction, other TfL employees. The only retention and enhancements are full family motivation. cover for private medical benefit and an annual health 2018/19 assessment (which is available Outcome Measure Target Category to all TfL Directors). Healthy Streets and healthy people (18%) Membership of the TfL Pension Fund, a ‘defined benefit’ scheme London’s transport system Reduction in people killed or seriously injured 45.4 which provides for a pension will be safe and secure on the roads from 2005-09 baseline (%) payable from age 65, based on 1/60th of pensionable salary for Reduction in people killed or seriously each year of service or, if invited injured on roads from 2005-09 baseline 55.6 and eligible, similar benefits – incidents involving buses (%) provided on an unfunded basis. Injuries on the public transport network 11,683 Some legacy arrangements apply London’s streets will be used more Operational improvements to for certain employees whereby an 15,000 Safety and efficiently and have less traffic sustainable travel employer contribution of 10 per operations (25%) cent of salary is paid to either a London’s streets will be Number of London buses that 6,050 defined contribution arrangement clean and green are Euro VI compliant or as cash supplement at a discounted amount. Average More Londoners will travel actively Healthy Streets scheme assessment 10% uplift
A good public transport experience (17%) The remuneration received by the Commissioner, Managing Directors, General Counsel and Chief Finance Officer for 2018/19 is shown on pages 95 and 96. Journeys by public transport Tube excess journey time (minutes) 4.50 will be fast and reliable Average bus speeds (mph) 9.2
Public transport will Additional time to make step-free 9 be accessible to all journeys (minutes) Customers Journeys by public Customer satisfaction – percentage of (25%) transport will be pleasant Londoners who agree we care about 49 our customers (%)
90 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 91 Severance policy Following the Dawn Jarvis report, which 2018/19 was commissioned by the Mayor to review Outcome Measure Target Category Most employees who leave owing to termination clauses and payments for redundancy do so under TfL’s voluntary senior employees across the GLA Group, New homes and jobs (2.5%) severance arrangements. the Remuneration Committee will have oversight of any proposed exit payments Transport investment will unlock The percentage of housing units we take 50 Depending on circumstances, voluntary for the Commissioner, Managing Directors the delivery of new homes and jobs to market in year that are affordable (%) severance terms for employees may include and other Senior Directors reporting to the some or all of the following: Commissioner. Mode share (5%) • A number of weeks of pay based on length In addition, any exit payment outside of 4 out of 4 Customers 80% of journeys will be made Sustainable mode share improvement elements (continued) of service, age and weekly pay standard redundancy terms and which by sustainable modes in 2041 improve exceeds £100,000 (excluding notice periods, • Notice period that an employee may work which are contractual) will be considered by All Mayor’s Transport Strategy themes (7.5%) or receive as a payment in lieu of notice the Remuneration Committee.
All Mayor’s Transport Deliver key investment milestones (%) 90 • Outplacement support or an Strategy outcomes equivalent cash payment Other severance arrangements Open Elizabeth line central section on time Dec 2018 • Enhanced pension provision In non-redundancy situations, TfL may People (25%) enter into severance arrangements where There are minimum service requirements to do so is in the interests of the organisation A capable and engaged workforce Workforce representativeness representative of London 70.7 for some of these terms and some elements and represents value for money. All such – all staff (%) People 46.6 vary if employees volunteer to leave early arrangements are considered on a case by – director/band 5 (%) (25%) during organisational change. case basis. Inclusion index (%) 46 There are also some variations to these Total engagement (%) 57 terms, which have been agreed as local arrangements for the small number of Financial (25%) employees who are members of the Local Financial Government and Principal Civil Service We are prudent and Net operating surplus (£m) 12 (25%) cover our costs Pension Schemes. Investment programme (£m) 2,138
92 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 93 Remuneration
Benchmarking of Senior • Pennon Group Research has shown that the base salaries significantly below the market level; total Executives’ pay • Amec Foster Wheeler and comparable remuneration for the estimated overall remuneration is between 35 • Stagecoach Group Commissioner, Managing Directors, General per cent and 71 per cent of market benchmark The Remuneration Committee uses data • Thomas Cook Group Counsel and Chief Finance Officer are levels as shown in the following chart. from remuneration consultants New Bridge • Balfour Beatty Street, a division of Aon Hewitt, to benchmark • Carillion the remuneration for the Commissioner, (still trading when benchmarking was done) Managing Directors, General Counsel and • National Express Group Chief Finance Officer against a peer group • FirstGroup Benchmarking of remuneration for the Commissioner, Managing of comparable companies from transport, • Go-Ahead Group Directors, Chief Finance Officer and General Counsel (£000s) infrastructure and public services sectors • Serco Group with which we compete for senior employees. The Committee uses two primary pay Publicly Accountable Group Current target comparator groups. The benchmark is calculated on the basis of a 60:40 split • BBC between a Listed Companies Group, • Manchester Airport Group Benchmark consisting of large transport and • NATS infrastructure companies and a Publicly • Network Rail Accountable Group, consisting of companies • Nuclear Decommissioning Authority accountable to the UK public, owned or • Post Office overseen by the Government. Benchmarking was last done in 2016. A new report has been To enable a like-for-like comparison with commissioned and will be available in 2019. the peer group, we have adjusted the remuneration of our senior executives to align it with the definitions provided by Listed Companies Group New Bridge Street. • National Grid Estimated overall remuneration for each • BT Group role has been calculated to include the • SSE base salary and estimates for performance • Centrica related pay and pension provision. • International Consolidated Airlines Group Performance related pay has been based Co i ioner Chief ana in ana in ana in enera ana in • Capita on the average level of performance over Finance irec or irec or irec or Co n e irec or Officer ondon rface Cro rai C o er • EasyJet recent years and the value of the pension nder ro nd ran or Co nica ion • United Utilities provision is based on standard actuarial and echno o • Bunzl assumptions. The value of the estimated • Severn Trent overall remuneration package will therefore External remuneration benchmark • Royal Mail be different to the actual remuneration paid. ▀ ▀ Estimated overall remuneration package
94 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 95 Comparison of senior executive pay to rest of TfL Summary of employee information
The base salary of the Commissioner in 2018/19 was £355,944. This compares with the Total headcount (including agency staff) reduced by 1,176 people, from 28,456 on 31 March 2018 median base salary of £50,611 and the lowest base salary (excluding apprentices) of £19,950. to 27,280 on 31 March 2019. The average headcount (permanent and fixed-term contract) has The ratio between the Commissioner’s salary and median base salary is 7.0:1 and the ratio reduced by 622 since last year and the average number of agency staff has reduced by 385. to the lowest base salary is 17.8:1. Total remuneration costs fell by three per cent compared to 2017/18, despite inflation linked The following table shows how total remuneration is split between employees by grade. pay increases for some employees.
Year Average headcount* Total remuneration costs (£m)* Percentage of total remuneration 2014/15 26,090 1,803.6 Commissioner, Managing Directors and General Counsel 0.2 2015/16 27,501 1,942.0 Directors 0.7 2016/17 27,131 1,963.9 General managers 1.8 2017/18 26,994 2,250.6 All other TfL employees 97.3 2018/19 26,372 2,176.8
Note: employees’ remuneration is consistent with the definition on pages 89 and 90 and includes salaries, fees, * From statutory accounts performance related pay, benefits in kind, lump sums and termination payments. It excludes employer pension contributions and employer national insurance contributions paid, and is based on remuneration received by Note: average headcount and total remuneration costs include permanent, and fixed-term contract (FTC). employees during the relevant year. Total remuneration costs include IAS 19 pension charges of £613m in 2018/19 (2017/18 £594.4m). Group employee costs and average employee numbers for 2014/15 have been restated to exclude the costs of British Transport Police Authority staff and officers working on the London Underground. Costs of these individuals have been reclassified as non-employee costs within other service expenditure.
96 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 97 Other employees’ remuneration Employees with a total Number of employees with a total remuneration of £100k or more (including Crossrail) remuneration of more than £100,000 per year We publish the remuneration of all employees, including those working in our subsidiaries, whose total remuneration In 2018/19, 171 people earned a total 2018/19 2017/18 was more than £50,000 over the course of remuneration of more than £100,000 during Base salary more than £100k 171 169 the financial year, grouped in rising bands the course of the financial year and had a Base salary between £80k and £100k 100 100 of £5,000. This information is included as base salary of £100,000 or more per year, Appendix 1 of this report. compared with 169 in 2017/18. Nine of these 271 269 people have since left the organisation, of Voluntary severance payments taking earnings over £100k 117 224 The impact of the transfer of employees which only one has been replaced. into and out of the Corporation* from Level of overtime worked taking earnings over £100k 80 71 subsidiaries can cause distortion for year- Overtime was worked by specialist engineers Total TfL 468 564 on-year comparison purposes. An additional and highly skilled technical engineers, 80 voluntary disclosure for the Group** is of whom earn a base salary of less than Crossrail 47 53 therefore provided that shows the combined £100,000 per year, but the overtime they Total (including Crossrail) 515 617 employee bands for TfL and its subsidiaries earned took their total remuneration above (Appendix 1 of this report). the threshold, compared with 71 in 2017/18. Many of these people are technical specialists The remuneration disclosure is also affected working to upgrade the power systems on by the Crossrail project. The number of the Tube network and specialist engineers employees of Crossrail Ltd receiving total working overnight and at weekends on major remuneration of £50,000 or more decreased projects, such as installing new signalling on from 292 in 2017/18 to 240 in 2018/19. The the Circle, District, Hammersmith & City and corresponding figures for those receiving Metropolitan lines. total remuneration of more than £100,000 per year decreased from 53 in 2017/18 to 47 A total of 117 people (compared with 224 in in 2018/19. 2017/18) who were on a base salary of less than £100,000 per year, received a one-off voluntary severance payment that took their total remuneration above this threshold. This is largely due to people leaving as part of our transformation programme, which is reducing management layers and eliminating duplication in order to improve efficiency and deliver recurring savings.
Therefore, the total number of TfL staff * The Corporation is made up of London Streets, (excluding Crossrail) who received total Taxi and Private Hire, and the corporate centre which, for legal and accounting purposes, remuneration of more than £100,000 per year, constitutes TfL including severance payments and overtime, ** The TfL Group is made up of the Corporation was 468 in 2018/19 compared with 564 in and its subsidiaries 2017/18 – a reduction of 17 per cent.
98 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 99 Appendices * Information subject to audit
Group 2019 Group 2018 Corporation 2019 Corporation 2018 Remuneration (£) number** number number*** number 1: Number of employees who received 120,000 - 124,999 35 34 17 19 total remuneration of more than £50,000* 125,000 - 129,999 33 31 22 23 130,000 - 134,999 17 36 10 25 135,000 - 139,999 9 23 6 12 Employees’ remuneration 140,000 - 144,999 15 18 10 12 This includes salaries, fees, performance related pay, benefits in kind, lump sums and 145,000 - 149,999 18 16 11 8 termination payments, but excludes pension contributions paid by the employer. 150,000 - 154,999 9 7 4 6
* Information subject to audit 155,000 - 159,999 11 11 8 7 160,000 - 164,999 4 6 2 2 165,000 - 169,999 5 14 2 10 Group 2019 Group 2018 Corporation 2019 Corporation 2018 Remuneration (£) number** number number*** number 170,000 - 174,999 9 7 2 4 50,000 - 54,999 4,427 5,245 846 713 175,000 - 179,999 5 14 4 6 55,000 - 59,999 3,616 2,582 636 615 180,000 - 184,999 1 10 1 6 60,000 - 64,999 1,802 1,723 509 481 185,000 - 189,999 7 10 4 3 65,000 - 69,999 1,427 1,370 435 390 190,000 - 194,999 9 3 6 3 70,000 - 74,999 967 963 321 283 195,000 - 199,999 4 9 3 5 75,000 - 79,999 759 721 242 223 200,000 - 204,999 4 3 2 2 80,000 - 84,999 564 510 167 156 205,000 - 209,999 5 6 3 3 85,000 - 89,999 379 336 127 115 210,000 - 214,999 3 5 2 - 90,000 - 94,999 243 223 83 74 215,000 - 219,999 1 4 1 1 95,000 - 99,999 186 146 65 56 220,000 - 224,999 2 3 1 - 100,000 - 104,999 121 119 57 49 225,000 - 229,999 2 3 - 1 105,000 - 109,999 64 68 27 33 230,000 - 234,999 1 2 1 1 110,000 - 114,999 49 67 23 35 235,000 - 239,999 1 3 1 1 115,000 - 119,999 45 51 27 30 240,000 - 244,999 1 1 1 1
** The TfL Group is made up of the Corporation and its subsidiaries ** The TfL Group is made up of the Corporation and its subsidiaries *** The Corporation is made up of London Streets, Taxi and Private Hire, and the corporate centre which, for legal *** The Corporation is made up of London Streets, Taxi and Private Hire, and the corporate centre which, for legal and accounting purposes, constitutes TfL and accounting purposes, constitutes TfL
100 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 101 * Information subject to audit * Information subject to audit
Group 2019 Group 2018 Corporation 2019 Corporation 2018 Group 2019 Group 2018 Corporation 2019 Corporation 2018 Remuneration (£) number** number number*** number Remuneration (£) number** number number*** number 245,000 - 249,999 3 1 1 1 435,000 - 439,999 - 1 - - 250,000 - 254,999 - 2 - - 475,000 - 479,999 1 - 1 - 255,000 - 259,999 2 - 1 - 505,000 - 509,999 1 - 1 - 260,000 - 264,999 2 4 - 2 640,000 - 644,999 - 1 - 1 265,000 - 269,999 2 1 1 1 705,000 - 709,999 - 1 - -
270,000 - 274,999 1 1 1 1 Total 14,885 14,436 3,701 3,427 275,000 - 279,999 - 2 - 2 280,000 - 284,999 - 2 - - ** The TfL Group is made up of the Corporation and its subsidiaries 285,000 - 289,999 - 2 - 1 *** The Corporation is made up of London Streets, Taxi and Private Hire, and the corporate centre which, for legal 290,000 - 294,999 1 2 - - and accounting purposes, constitutes TfL 295,000 - 299,999 1 1 - - 300,000 - 304,999 1 1 1 1 305,000 - 309,999 2 1 1 - Remuneration for Employer’s pension contributions include 310,000 - 314,999 1 2 - 1 senior employees the contribution in respect of future benefit 315,000 - 319,999 2 1 1 - accrual. Member contributions are payable 325,000 - 329,999 - 2 - 1 The Accounts and Audit Regulations by employees at a fixed rate of five per cent 2015 require disclosure of individual of pensionable salary. 330,000 - 334,999 1 - 1 - remuneration details for senior employees 355,000 - 359,999 2 - 2 - with a base salary of £150,000 or more, Salary, fees and allowances are disclosed calculated on a full-time equivalent basis on an earned basis. Although performance 360,000 - 364,999 - 1 - - for those working part-time. related pay is reported on a cash paid basis, 365,000 - 369,999 - 2 - - it may not be determined for many months Disclosure is made for each financial year after the end of the relevant year. 370,000 - 374,999 - 1 - 1 under various categories and set out in 390,000 - 394,999 - 1 - - the tables from page 104. 400,000 - 404,999 1 - - - 415,000 - 419,999 1 - - -
** The TfL Group is made up of the Corporation and its subsidiaries *** The Corporation is made up of London Streets, Taxi and Private Hire, and the corporate centre which, for legal and accounting purposes, constitutes TfL
102 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 103 2: Named employees receiving a base annual salary in excess of £150,000 at 31 March 2019*
* Information subject to audit
Salary Performance Compensation Employer’s Salary (including PRP (including fees related pay (PRP) for loss of Benefits Total remuneration contribution fees and for 2016/17 Total remuneration and allowances) for 2017/18 paid in employment in kind excluding pension to pension allowances) paid in the excluding pension 2018/19 the year 2018/19 2018/19 2018/19 contributions 2018/19 2018/19** 2017/18 year 2017/18 2017/18*** Name Notes (£) (£) (£) (£) (£) (£) (£) (£) (£)
TfL employees including subsidiary companies but excluding Crossrail
Mike Brown MVO, Commissioner a *372,506 133,586 - 2,209 508,301 - *372,845 - 374,959
Howard Carter, General Counsel b *255,697 57,090 - 2,186 314,973 - *255,797 51,407 309,319
Michèle Dix, Managing Director, Crossrail 2 c *169,056 40,498 - 1,706 211,260 - *169,056 31,363 202,070
Vernon Everitt, Managing Director, d 243,485 57,875 - 2,186 303,546 - 243,812 55,761 301,688 Customers, Communication and Technology
Nigel Holness, Managing Director, e 282,722 36,185 - 16,385 335,293 9,545 227,267 65,388 294,306 London Underground
Simon Kilonback, Chief Finance Officer f *273,180 44,712 - 2,175 320,067 - *232,297 28,098 262,046
Gareth Powell, Managing Director, g *305,649 50,648 - 2,186 358,483 9,382 *277,417 34,413 313,611 Surface Transport
Sarah Bradley, Group Financial Controller 163,579 15,176 - 769 179,524 34,225 157,516 9,650 167,910
George Clark, Director of TfL Engineering h 165,000 27,770 - 1,706 194,476 42,158 147,452 19,071 168,174
Andrea Clarke, TfL Legal Director 165,369 28,675 - 1,706 195,750 40,688 161,518 26,656 189,825
Jean Cockerill, Director of Business 157,403 26,877 - 769 185,049 38,057 156,540 25,560 182,844 Partnering and Employee Relations
Tanya Coff, Divisional Finance Director, 162,000 28,091 - 1,706 191,797 39,839 162,000 17,426 181,087 London Underground
Graeme Craig, Director of Commercial Development 185,000 24,069 - 1,706 210,775 41,061 185,000 30,266 216,917
104 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 105 * Information subject to audit
Salary Performance Compensation Employer’s Salary (including PRP (including fees related pay (PRP) for loss of Benefits Total remuneration contribution fees and for 2016/17 Total remuneration and allowances) for 2017/18 paid in employment in kind excluding pension to pension allowances) paid in the excluding pension 2018/19 the year 2018/19 2018/19 2018/19 contributions 2018/19 2018/19** 2017/18 year 2017/18 2017/18*** Name Notes (£) (£) (£) (£) (£) (£) (£) (£) (£)
Patrick Doig, Divisional Finance Director, i 159,611 27,744 - 1,706 189,061 39,335 149,973 24,654 176,278 Surface Transport
Stephen Field, Director of Compensation j *190,349 65,345 - 1,706 257,400 - *190,666 75,233 267,550 and Benefits
Lester Hampson, Property Development Director 177,216 113,750 - 1,706 292,672 41,061 177,157 129,063 307,871
Michael Hardaker, Director of Network Extensions k 42,026 - - 498 42,524 9,455 - - -
Stuart Harvey, Major Projects Director *277,136 77,240 - 1,706 356,082 - *265,036 51,340 318,027
Chris Hobden, Head of Four Lines Modernisation l 141,950 14,400 - 1,706 158,056 30,585 130,542 19,200 151,393
David Hughes, TfL Investment Delivery m 182,275 40,970 - 1,706 224,951 40,595 182,364 31,755 215,770 Planning Director
Anthony King, Divisional Finance Director, n 190,079 - - 1,706 191,785 8,937 42,885 - 43,288 Major Projects Directorate
Chris MacLeod, Customer Director *207,456 28,611 - - 236,067 - *206,620 30,228 236,848
Peter McNaught, Asset Operations Director 162,756 26,928 - 1,706 191,390 39,335 162,674 23,472 187,797
Helen Murphy, Director of TfL Consulting o 124,523 - - 1,406 125,929 30,541 - - - and International Operations
Andrew Pollins, Transformation Director 222,428 25,970 - 1,706 250,104 41,061 222,788 25,217 249,656
Caroline Sheridan, Renewals and Enhancements p 163,080 8,126 - 40 171,246 39,335 55,585 - 55,585 Director, London Underground
Paul Thomas, Head of Transport Systems, q 172,458 5,100 - 1,706 179,264 41,061 171,920 5,950 179,772 Deep Tube Upgrade Programme
Shashi Verma, Director of Strategy and r 233,983 34,160 - 769 268,912 51,978 205,397 36,090 242,231 Chief Technology Officer
Alex Williams, Director of City Planning 206,019 26,928 - - 232,947 - 203,818 23,240 227,058
Brian Woodhead, Customer Service Director *232,013 63,660 - 1,706 297,379 - *230,786 59,700 292,137
106 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 107 * Information subject to audit
Salary Performance Compensation Employer’s Salary (including PRP (including fees related pay (PRP) for loss of Benefits Total remuneration contribution fees and for 2016/17 Total remuneration and allowances) for 2017/18 paid in employment in kind excluding pension to pension allowances) paid in the excluding pension 2018/19 the year 2018/19 2018/19 2018/19 contributions 2018/19 2018/19** 2017/18 year 2017/18 2017/18*** Name Notes (£) (£) (£) (£) (£) (£) (£) (£) (£)
Tricia Wright, Chief People Officer s *236,005 35,640 - 769 272,414 - *236,225 35,966 272,935
David Wylie, Chief Procurement Officer 171,058 25,500 - 1,706 198,264 41,061 171,027 10,000 182,678
Ken Youngman, Divisional Finance Director, t 169,895 - - 1,706 171,601 14,895 41,430 - 41,834 Commercial Development
Crossrail current office holders/employees
Tony Meggs, Non-Executive Chairman u 46,209 - - - 46,209 - - - -
Nick Raynsford, Non-Executive Deputy Chairman v 10,544 - - - 10,544 - - - -
Mark Wild, Chief Executive w 333,669 69,312 - 1,956 404,937 41,061 284,425 42,880 328,956
Chris Sexton, Deputy Chief Executive 274,045 29,486 - 1,706 305,237 30,051 230,707 30,057 262,415
Jeremy Bates, Head of Assurance 168,123 17,056 - 1,706 186,885 30,051 163,488 21,669 186,808
Susan Beadles, Head of Legal Services and 140,143 17,063 - 1,706 158,912 20,064 106,419 7,187 115,257 Company Secretary
Chris Binns, Chief Engineer 175,636 18,135 - 1,706 195,477 17,564 170,980 23,039 195,670
Paul Grammer, Commercial Director 243,200 18,323 - 1,706 263,229 - 238,147 89,900 329,698
David Hendry, Chief Finance Officer x 90,810 - - - 90,810 - - - -
Howard Smith, Chief Operating Officer y *182,803 64,453 - 1,706 248,962 - *183,075 29,173 213,899
Andy Weber, Delivery Construction Manager 137,009 6,032 - 769 143,810 13,850 128,512 7,246 136,502
Former Employees
Justin Brand, Commercial Revenue Director z 103,151 39,000 100,612 530 243,293 25,292 150,000 69,000 219,744
Steve White, Operations Director, Sub-Surface Lines aa *88,666 90,000 - 726 179,392 - *207,639 24,606 233,896
Sir Terry Morgan, Non-Executive Chairman, Crossrail ab 170,243 - - 1,160 171,403 - 250,000 - 251,651
108 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 109 * Information subject to audit
Salary Performance Compensation Employer’s Salary (including PRP (including fees related pay (PRP) for loss of Benefits Total remuneration contribution fees and for 2016/17 Total remuneration and allowances) for 2017/18 paid in employment in kind excluding pension to pension allowances) paid in the excluding pension 2018/19 the year 2018/19 2018/19 2018/19 contributions 2018/19 2018/19** 2017/18 year 2017/18 2017/18*** Name Notes (£) (£) (£) (£) (£) (£) (£) (£) (£)
Mathew Duncan, Finance Director, Crossrail ac 154,252 38,924 125,281 1,043 319,500 - 247,016 112,376 361,043
Mark Fell, Legal Services Director and ad 67,016 16,101 173,979 571 257,667 - 199,573 21,179 222,403 Company Secretary, Crossrail
Richard Palczynski, Programme Controls ae 101,173 15,128 73,484 470 190,255 10,117 161,635 10,222 172,601 Director, Crossrail
Valerie Todd, Talent and Resources Director, Crossrail af *6,361 28,390 444,378 54 479,183 - *258,277 39,498 299,891
Matthew White, Surface Director, Crossrail ag 149,730 15,424 144,964 1,562 311,680 30,051 156,943 19,713 178,307
Simon Wright, Chief Executive, Crossrail ah 362,301 54,055 4,000 1,706 422,062 - 328,873 105,568 436,092
* salary, fees and allowances include an allowance a salary sacrificed for pension of £8,035 k entered service 7 January 2019 w role at Crossrail started 19 November paid as a result of the individual opting out (2017/18 £7,708) l took on increased responsibility during 2018/19 2018. Formerly Managing Director, London of part or all of the benefits provided by the Underground. PRP received in 2017/18 relates to b salary sacrificed for pension of £8,035 m salary sacrificed for childcare vouchers of £nil TfL Savings for Retirement Plan or TfL Pension (2017/18 £7,708) that role. Salary sacrificed for Cycle to Work Fund. The allowance is paid at the rate of the (2017/18 £112) scheme of £77 (2017/18 £923) c salary sacrificed for pension of £22,000 employer contribution foregone, discounted by n entered service 2 January 2018 x entered service 29 October 2018 the employer rate of National Insurance in order (2017/18 £22,000). Paid for providing to ensure no additional employer cost is incurred. services four days per week o entered service 4 June 2018 y salary sacrificed for pension of £8,012 It also includes an allowance available to d salary sacrificed for pension of £8,035 p entered service 27 November 2017 (2017/18 £7,684) employees on fixed term contracts who choose (2017/18 £7,708) q salary sacrificed for Cycle to Work z left service 7 December 2018 to join a defined contribution scheme rather than scheme of £nil (2017/18 £462) the TfL Pension Fund e changed role in 2018/19, formerly Director of aa left service 2 September 2018 Network Operations. Benefits in kind include r salary sacrificed for pension of £8,012 ab left service 4 December 2018 ** a number of senior employees opted out of reimbursement of travel expenses (2017/18 £7,708) the TfL Pension Fund during 2015/16. They are ac left service 9 November 2018 instead accruing equivalent benefits under an f changed role in 2018/19, formerly interim s entered service 2 January 2018 Chief Finance Officer ad left service 31 July 2018 unfunded defined benefit pension scheme t took on increased responsibility during 2018/19 ae left service 9 November 2018 *** total remuneration for 2017/18 also includes g changed role in 2017/18. Salary sacrificed for Cycle to Work scheme of £462 (2017/18 £nil) u entered service 14 January 2019. Paid for providing benefits in kind as reported in last year’s services two days per week af secondment to Crossrail ended 31 March 2018. Statement of Accounts h took on increased responsibility during 2017/18 Left service 9 April 2018 v entered service 14 January 2019. Paid for providing i salary sacrificed for Cycle to Work scheme services five days per month ag left service 28 February 2019 of £389 (2017/18 £nil) ah left service 31 March 2019 j salary sacrificed for pension of £8,012 (2017/18 £7,708). PRP disclosed includes retention payment of £35,000
110 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 111 3: Severance payments*
We have also published the number and cost of compulsory and voluntary severance Severance payments of £30.7m in 2018/19 and £51.4m in 2017/18 are expected to result in ongoing termination packages agreed during the year. This is fully in line with the Code. Our policy on cost savings of approximately £111m per annum. severance is found on page 93.
Termination payments disclosed in the tables below include Crossrail and are reported on a cash paid basis to provide certainty on the amounts reported, and include pension contributions in respect of added years, ex-gratia payments and other related costs.
* Information subject to audit
Group Corporation Corporation Group Corporation Corporation Group 2019 2019 2019 2019 Group 2018 2018 2018 2018 (number) (£m) (number) (£m) (number) (£m) (number) (£m)
Non-compulsory exit packages (£) Non-compulsory exit packages (£)
0-20,000 86 1.1 24 0.4 0-20,000 105 1.3 65 0.9 20,001-40,000 98 2.9 34 1.0 20,001-40,000 146 4.3 107 3.2 40,001-60,000 86 4.2 47 2.3 40,001-60,000 123 6.2 98 4.9 60,001-80,000 59 4.1 35 2.5 60,001-80,000 84 5.8 67 4.7 80,001-100,000 48 4.3 25 2.2 80,001-100,000 76 6.9 64 5.8 100,001-150,000 67 8.1 30 3.6 100,001-150,000 96 11.6 58 6.9 150,001-200,000 22 3.6 13 2.1 150,001-200,000 42 7.1 26 4.4 200,001-250,000 4 0.9 1 0.2 200,001-250,000 22 5.0 14 3.1 250,001-300,000 4 1.1 - - 250,001-300,000 6 1.7 2 0.6 300,001-350,000 - - - - 300,001-350,000 1 0.3 1 0.3 350,001-400,000 - - - - 350,001-400,000 2 0.8 1 0.4 400,001-450,000 1 0.4 1 0.4 400,001-450,000 1 0.4 1 0.4
Total non-compulsory exit packages 475 30.7 210 14.7 Total non-compulsory exit packages 704 51.4 504 35.6
Compulsory exit packages Compulsory exit packages 0-20,000 - - - - 0-20,000 - - - -
Total 475 30.7 210 14.7 Total 704 51.4 504 35.6
112 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 113 4: Representation of equalities groups at different pay levels as at 31 March 2019* **
* Excluding Crossrail and TfL apprentices ** Information not subject to audit
£20,001 £30,001 £40,001 £50,001 £60,001 £70,001 £80,001 £90,001 <£20,000 to £30,000 to £40,000 to £50,000 to £60,000 to £70,000 to £80,000 to £90,000 to £100,000 >£100,000
No % No % No % No % No % No % No % No % No % No %
Ethnicity
Black, Asian and minority ethnic 4 80 650 41 2,143 39 1,579 31 2,703 31 597 22 209 17 46 11 12 8 12 7
White 1 20 559 36 2,339 38 2,714 54 4,862 56 1,724 63 836 68 293 72 116 73 136 82
Not stated - 0 360 23 1,605 26 733 15 1,159 13 409 15 180 15 68 17 30 19 19 11
Total 5 1,569 6,087 5,026 8,724 2,730 1,225 407 158 167
Gender
Female 2 40 582 37 2,103 35 1,289 26 1,462 17 425 16 188 15 70 17 34 22 44 26
Male 3 60 985 63 3,979 65 3,737 74 7,256 83 2,305 84 1,037 85 337 83 123 78 124 74
Other - 0 2 0 5 0 - 0 6 0 - 0 - 0 - 0 - 0 - 0
Total 5 1,569 6,087 5,026 8,724 2,730 1,225 407 158 167
Disabled / Not disabled
Disabled - 0 62 4 156 3 91 2 151 2 64 2 24 2 12 3 2 1 3 2
Not disabled 4 80 920 59 3,169 52 2,417 48 4,211 48 1,274 47 557 45 192 47 94 60 115 69
Not stated 1 20 587 37 2,762 45 2,518 50 4,362 50 1,392 51 644 53 203 50 62 39 49 29
Total 5 1,569 6,087 5,026 8,724 2,730 1,225 407 158 167
114 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 115 5: Board remuneration* 6: Trade union facility time*
* Information subject to audit * Information not subject to audit
The Trade Union (Facility Time Publication As at 31 March 2019, TfL had 828 members of For the year ended 31/03/19 Requirements) Regulations 2017 place a staff who are elected as union representatives. (£) requirement on relevant public sector These employees spent the following amount employers to collate and publish, on an of their working hours on facility time: Current Board Member annual basis, a range of data on the amount Sadiq Khan Not remunerated by TfL and cost of trade union facility time within their organisation. Facility time is the provision Heidi Alexander Not remunerated by TfL of paid or unpaid time off from an employee’s Number Time (%) of employees Kay Carberry CBE 20,000 normal role to undertake trade union duties and activities as a union representative. 0 - Prof Greg Clark CBE 19,000 1-50 680 Bronwen Handyside 18,000 Within TfL the following trade 51-99 113 Ron Kalifa OBE 20,000 unions are represented: 100 35 Dr Alice Maynard CBE 18,000 Total 828 Anne McMeel 20,000 • TSSA • RMT Dr Mee Ling Ng OBE 20,000 • Prospect Dr Nelson Ogunshakin OBE 19,000 • UNISON We allow representatives paid time off to • Unite carry out union duties and meeting these Mark Phillips* 3,452 • PCS costs represents 0.4 per cent of our total Valerie Shawcross CBE** 14,597 • ASLEF wage bill. Dr Nina Skorupska CBE 19,000 Total cost of facility time (£m) 7.9 Dr Lynn Sloman 19,000 Total remuneration costs for all Ben Story 20,000 2,176.8 TfL employees (£m)
Percentage of pay bill spent on 0.4 facility time (%) Members who have left during the year Baroness Grey-Thompson DBE*** 8,068 We do not provide paid time off for Michael Liebreich*** 8,068 representatives to carry out trade union activities. The above approach to paid time * Mark Phillips was appointed to the Board on 21 January 2019 off, and the number of representatives ** Valerie Shawcross CBE was Deputy Mayor and Deputy Chair of TfL until 8 June 2018. She has been a member of for our 27,000 employees is in line with the Board throughout 2018/19, but her position was only eligible for remuneration from 9 June after she stood legislation guidelines from ACAS and down as Deputy Mayor agreements with the trade unions. *** Left TfL on 2 September 2018
116 Remuneration Report TfL Annual Report and Statement of Accounts 2018/19 117 Statement of Accounts
118 Statement of Accounts TfL Annual Report and Statement of Accounts 2018/19 119 Narrative Report and Financial Review
Highlights that the programme could not be delivered • In Quarter 3, the major stations £7,561m, reflecting the incremental costs of on time and that it would not be in a position improvement project saw the opening preparations for the opening of the Elizabeth More than 27 million journeys are made to open the Crossrail central section through of the new Bloomberg entrance at Bank line and additional services on TfL Rail. across London every day, from local walks London in December 2018 as originally station, and in March 2019, the first to deliveries and from cycle trips to the planned. In October 2018, additional funding breakthrough was made between the new This focus on cost control has combined daily commute. Our purpose is to connect for the project of £300m was provided by entrance on Cannon Street and the newly with a 5.1 per cent increase in gross income Londoners and all our communities by the Sponsors (the Department for Transport constructed Northern line tunnel to give a net cost of services for the year of keeping London moving, working and (DfT) and TfL). In December 2018, the Mayor £1,905m, 10.5 per cent better than 2017/18’s growing, to make life in our city better. of London and the Government agreed a • At Victoria station, all passenger-facing total of £2,129m. We achieve this through the provision of financial package to cover the remaining facilities were opened in the year. The a safe and reliable, integrated transport funding required to complete the project. overall completion of the station, The rise in gross income from £5,382m to network that promotes healthy living. In surrounding buildings and urban realm £5,656m reflected an improvement in fares delivering this, our aim is to cost less and A new leadership team for Crossrail Ltd was is planned for mid-2019 income, driven primarily by increased demand grow our revenues so that we continue to be put in place during the financial year, as well on London Underground. Other areas of financially sustainable and able to support as a new governance structure. This team • On the Four Lines Modernisation project, the business saw weaker volume increases. Londoners far into the future. has been working on developing a robust commissioning of the first area to run in Other operating income (which includes all and realistic new plan to deliver the project. passenger service using the new automatic non-passenger derived sources of income, In 2018/19, we faced some real financial In April 2019, Crossrail Ltd announced that train control signalling system was including rents and advertising) saw an 8.7 challenges with the loss of the operating services are now planned to be introduced, successfully completed on 17 March 2019 per cent rise, primarily a result of one-off grant from central Government, a subdued excluding Bond Street station, which is still receipts related to the delayed delivery of national economy, and the delay to the significantly delayed, on the central section • In February 2019, bidders submitted their rolling stock. opening of the Elizabeth line. Despite these of the railway at some point between final technical, commercial and financial obstacles, we continued to make good October 2020 and March 2021. proposals in relation to the construction Net financing costs of £327m were progress against our long-term objective of of the Silvertown Tunnel. The contract significantly below the prior year figure of turning an operating deficit into a surplus. As Elsewhere in the Group, our investment will be awarded later this year £418m, reflecting an increase in the level of set out in the paragraphs below on our uses programme has continued to deliver safety, gains recognised in relation to the disposal of funding, it is the third successive year we reliability and capacity improvements of investment properties. Increases in loan have reduced like-for-like operating costs. across the network as we maintain, enhance Financial performance and lease interest payable were offset by a Our gross revenues have also grown year on and extend services across London. Major reduction in the net interest payable on the year as we started to see small recoveries projects included infrastructure, signalling In 2018/19 we reduced our like-for-like Group’s defined benefit obligation. in passenger demand following the declines and station upgrades on the London operating costs for the third year running, experienced in 2016/17 and 2017/18. Underground and the extension of the offsetting inflationary pressures – something Grant income, at £3,016m, was £539m above Northern line to Battersea Power Station. that TfL has never achieved before. This has 2017/18 levels, primarily due to additional A key priority for management during the During the year, a number of delivery been managed through the organisation Crossrail funding received from the DfT year has been to understand and develop milestones were achieved: concentrating on its cost base, including and the Greater London Authority (GLA). plans for addressing the delay, first maintenance savings, contract renegotiations The share of losses from our associated announced in August 2018 by Crossrail Ltd, and recruitment controls. Overall, operating undertakings, meanwhile, increased from costs increased only slightly, from £7,512m to £63m in 2017/18 to £95m in 2018/19.
120 Statement of Accounts TfL Annual Report and Statement of Accounts 2018/19 121 Narrative Report and Financial Review (continued)
These combined to give an overall surplus • Prudential borrowing (the amount and Gross income on the provision of services after tax for the profile of which has been agreed to year of £659m – a significant improvement on 2020/21 with central Government in Gross income breakdown by type (£m) the prior year deficit of £176m. After reserves the March 2017 Funding Agreement) transfers this translated to a below budget fall in usable reserves from £1,790m as at 31 • Commercial development on TfL’s 2 March 2018 to £1,627m at 31 March 2019. estate, including advertising, and 2 2 property rental and development The level of capital works undertaken fell during the year to £3,467m, 3.9 per cent • Third-party funding for specific projects below the prior year total of £3,606m. As well as £398m of capital spend on renewals works, The TfL Business Plan is financially balanced 1 this included new investment of £1,389m on with planned funding sources sufficient 1 the Crossrail project, whose completion has to meet planned expenditure. Short-term now been delayed. Other significant projects timing differences between expenditure progressed in the year included the Four and funding are managed through transfers Lines Modernisation project, the Northern to or from our cash reserves. 2 01 Line Extension, major station improvement 2 2 2 works, and the Deep Tube Upgrade. 2 02 0 2 22 2 1 Funding sources er rou uses i t er Ce tr items Co estio e ts t er E i bet i e o er tio s C r i commerci i come sc eme vertisi Our activities are funded from six res reve ue main sources: ■ 2018/19 ■ 2017/18 restated • Passenger income and income from the Congestion Charging scheme Total gross income increased by 5.1 per annually by the Mayor whose decision for • A proportion of London’s business rates cent from £5,382m in 2017/18 to £5,656m in 2019 was to again freeze fares in line with 2018/19, largely owing to increased passenger his policy for his four-year term. As with • Central Government funding in relation volumes on the Underground combined previous years, Travelcard increases and to the Crossrail project with small revenue increases across all associated caps are set in agreement with other areas. the train operating companies under fares regulations set by the Government. These TfL’s primary source of gross income increased on average by 3.1 per cent from comes from passenger fares income, which 1 January 2019 – slightly below the 3.2 per represents 85.8 per cent of all revenue cent annual increase in the Retail Prices Index generated. TfL fares decisions are taken in the benchmark month of July 2018.
122 Statement of Accounts TfL Annual Report and Statement of Accounts 2018/19 123 Narrative Report and Financial Review (continued)
Total gross income by operating division (£m) from the DLR and from London Overground. Still within the Rail division, fares revenue Combined passenger volumes for these on Trams fell by £1m from £24m in 2017/18 to 2 areas increased from 354 million journeys in £23m in 2018/19, reflecting a 1.4 per cent fall 2 2017/18 to 367 million in 2018/19. in passenger volumes as a result of closures due to a fire in a warehouse adjacent to On the Elizabeth line, an £18m increase the tramway, and to an industrial relations in passenger income was primarily a dispute in March 2019. reflection of the commencement of the new Paddington to Heathrow service in May Other operating income for the Rail and 1 0 1 2018. The line, as a whole, carried 55 million Elizabeth line divisions, meanwhile, rose people, an increase of 22.1 per cent over from £17m in 2017/18 to £57m in 2018/19, due to the previous year. Customer satisfaction one-off contractual receipts relating to the increased by one per cent to 84 per cent. The delayed delivery of new London Overground Public Performance Measure (PPM) was 94.5 trains, combined with increased third-party