Ministers blame Metronet for collapse

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.

The Government said Metronet's performance was "very disappointing" and that "all parties" would have to learn the " appropriate lessons for the future."

Ministers revealed in February they are having to pay £2 billion to clear the debts of Metronet which went bust last summer. But the final bill - to be met by tax and fare payers - will be much higher.

Metronet - a public-private partnership - had tried to blame Tube bosses for its £2 billion overrun.

A damning report from the crossparty Commons Transport Committee had blamed a fundamental failure both in the way Metronet was set up and operated. Gordon Brown, as chancellor, was one of the principal architects of the PPP.

But in its response, published today, the Government insisted the PPP had been "thoroughly evaluated" and said: "Metronet's collapse... was a corporate failure and that structural weaknesses of Metronet led to its downfall."

However, Norman Baker, Liberal Democrat shadow transport secretary, said: "The Metronet debacle shows just how wrong this Government'sattempts to hide public spending through complex publicprivate partnership deals can go."

Talks are taking place today to avert a four-day Tube strike.

It is planned to run from 6.30pm on Sunday 6 April until 9 April and has been ordered over a raft of alleged safety issues. But Peter Bishop, deputy chief executive of the London Chamber of Commerce, said the strike could cost the capital up to £200 million.