Mayor wins control of Crossrail project

My Account
Logout

Create an Evening Standard Account

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Welcome! Sign in here

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Forgot your password ?

Registration

* indicates fields that are mandatory

Email *

Password *

Confirm Password *

First name *

Surname *

Postcode *

Country *

Mobile phone number

Username *

Gender *

Year of birth *

When you sign up...

You will have access to all our online competitions, discounted offers and can post comments on our site.

You will also receive The Weekender newsletter sent every Thursday - it’s full of fantastic offers and ideas for the weekend. You can update your email preferences in your account page when you log in.

Other newsletters and emails

Homes & Property Newsletter - Yes I want to receive the weekly email with all the latest news on property in the capital

Occasionally we would also like to send you relevant emails detailing specific offers either from ourselves or carefully selected partners. If you would prefer not to receive these then please tick the appropriate boxes below. We will never pass on your details.

I do not want to receive additional offers and information from the Evening Standard

I do not want to receive additional offers and information sent by Evening Standard on behalf of carefully selected partners

Terms and Conditions

* I have read, understood and agree to be bound by the terms and conditions of Evening Standard

Registration

Mail Sent for Registration Confirmation.

A confirmation email has been sent. Please activate your account by clicking on the activation link sent in your mail box.

Transport for London, headed by the Mayor, is to become 100 per cent owner of the company set up to deliver the project.

The deal is set out in heads of terms published by Transport Secretary Ruth Kelly today, with new details of the £16billion funding package and management agreements. Her announcement cleared the biggest remaining hurdles to the east-west rail route to be opened in 2017 after more than two decades of frustration and delay.

Mr Livingstone and Ms Kelly will become co-sponsors of the project - a carve-up that will dismay London business leaders who had been pressing for an equal partnership in the construction project to reflect the one-third share of the cost being taken from the private sector.

However, in a move aimed at reassuring City chiefs, four senior businessmen will be appointed as independent non-executive directors of the delivery company, Cross London Rail Links. Ms Kelly wants them to be world-class figures with experience in delivering immense construction works on time and within budget. She was writing to the London Business Board, inviting it to suggest names.

In the Commons, Ms Kelly was also spelling out details of funding arrangements. Her department will contribute more than £5billion in grants - and will shoulder responsibility for squeezing cash contributions from the City Corporation and BAA.

Altogether, the Government is guaranteeing £5.6 billion of the cost, implying that it will ensure the money is delivered even if talks over the City contribution break down in future. The Mayor, through TfL and the Greater London Authority, will raise up to £7.7billion, using a combination of borrowing on the back of the future revenues from the business levy and fares, plus other sources.

Developers building close to the line will be among those ordered to pay towards the construction. Legislation will be passed to give TfL new powers to raise the money.

Ministers say they are confident that the £15.9 billion budget is enough. But if TfL fails to keep on track or defaults on agreements with the Government, the project will return to Whitehall ownership.