Rail and Tube will receive extra cash

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Indy Politics

No substantial increase in transport investment was contained in yesterday's announcement. Most of the money had already been announced in the Government's 10-year transport plan or revealed earlier this year in the form of extra funding for rail.

No substantial increase in transport investment was contained in yesterday's announcement. Most of the money had already been announced in the Government's 10-year transport plan or revealed earlier this year in the form of extra funding for rail.

One extra element came from the inclusion within overall transport spending of money for improvements to London Underground. The Chancellor, however, pointed out that transport spending would grow by 1 per cent a year in real terms over the next three years.

Department of Transport expenditure would rise from £7.7bn in 2002-03 to £11.6bn by 2005-06. The extra cash includes about £1.1bn a year to fund the first three years of the controversial part-privatisation of the Tube.

More of the extra cash will go on railways, with the Treasury boasting that Railtrack's successor, Network Rail, would be able to finance a significant increase in maintenance and track renewals.

The Transport Secretary, Alistair Darling, said the settlement would allow the Government to to deliver the 10-year plan and "the safe, efficient and reliable transport system the public demands". He said: "It provides the framework needed to bring about improvements. Delivering the plan is the main task."

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