§ 33. Mr. Dobsonasked the Secretary of State for Transport by how much the Greater London council's proposed 1984–85 budget for London Transport exceeds the transport supplementary grant agreed level of support.
§ Mrs. ChalkerThe comparison which the hon. Member is attempting to draw is misleading. London Transport's budget for 1984–85 required a capital allocation of £183 million and revenue support of £193 million. The capital allocation to the GLC (including expenditure ineligible for TSG) includes £174 million for public transport investment—over 12 per cent. more than the previous year.
In setting a protected expenditure level of £125 million for revenue support, my right hon. Friend the Secretary of State had regard to the surplus which LT had indicated that it expected to achieve. Allowing for this surplus to be carried forward and for the containment of LT's costs, the PEL of revenue support is sufficient to keep fares in line with inflation. A sum of £90 million was accepted for a taxpayer contribution through TSG. The GLC subsequently decided to pay £21 million more than LT had sought in its budget.