Chancellor Rachel Reeves has declined to fund an extension of the Docklands Light Railway to Thamesmead in her spring statement – leaving London mayor Sir Sadiq Khan warning that the Labour government risked “levelling down” the capital.
The mayor, Greenwich Council and Newham Council had hoped the chancellor would put cash into the cross-river project so 15,000 new homes could be built at a new development, Thamesmead Waterfront, as well as another 15,000 homes at Beckton Riverside. Two years ago the project was costed at up to £1.7 billion.
But they were left disappointed, with their party’s chancellor confirming £15.6 billion for transport projects outside London instead.
Instead of a pledge of funding, the review said: “The government also recognises the potential growth and housing benefits of the Docklands Light Railway Thamesmead extension and is committed to working with TfL to explore options for delivery.”
There was also no cash for the long-planned Bakerloo Line extension to Lewisham, which is aimed at boosting development along the Old Kent Road. The Tube line currently operates the oldest trains in regular service in Britain, and politicians on both sides of the Thames have been calling for a revamp and extension, which would cost up to £8 billion. The extension was not mentioned in the review.
Khan also said there was not enough money for the Metropolitan Police, which is facing hefty cuts, including disbanding the Royal Parks unit that covers Greenwich Park.
There was, however, some better news for Khan in that TfL was given £2.2 billion in funding over four years, which will enable it to complete work on introducing new trains on the DLR and Piccadilly lines, and to obtain new trams for the network around Croydon. It would also be able to “progress discussions on new Bakerloo Line trains” and repair roads, bridges and tunnels.
But Andy Lord, the TfL commissioner, warned that “we will continue to have to make at times difficult decisions and we will need to continue to carefully prioritise investment and control our costs”.
Khan said in a statement issued after Reeves addressed the House of Commons: “I’ve been determined to stand up for London and it’s good news that we have won extra resources for transport and housing. I have been campaigning for years for a multi-year deal for City Hall and for Transport for London and I welcome this agreement.
“However, I remain concerned that this spending review could result in insufficient funding for the Met and fewer police officers.
“It’s also disappointing that there is no commitment today from the Treasury to invest in the new infrastructure London needs. Projects such as extending the Docklands Light Railway not only deliver economic growth across the country, but also tens of thousands of new affordable homes and jobs for Londoners. Unless the government invests in infrastructure like this in our capital, we will not be able to build the numbers of new affordable homes Londoners need.
“As mayor, I’ll continue to make the case to the government that we must work together for the benefit of our capital and the whole country. The way to level up other regions will never be to level down London. I’ll continue to fight for the investment we need so that we can continue building a fairer, safer and greener London for everyone.”
Greenwich Council has been contacted for comment about the DLR.
Brenda Dacres, Lewisham’s elected mayor, told The Greenwich Wire: “The government’s spending review brought welcome news in terms of funding for affordable and social housing, which Lewisham and local authorities across the country have long called for. I was also pleased to see further public sector investment in health, children’s services and training for young people.
“We welcome the multi-year funding settlement for Transport for London, which will provide more certainty for the capital. However, we had hoped to see a direct reference to the Bakerloo Line upgrade and extension, and will be looking closely at the detail of TfL’s settlement to understand what it means for the project.
“The case for the Bakerloo Line upgrade and extension is clear: it’s a transformative infrastructure programme whose benefits will not only be felt by Londoners using the line, but across the country — unlocking over 100,000 new homes, supporting 150,000 jobs, and injecting £1.5 billion per year into the national economy. The project would pay for itself within just a few years.
“As we digest the full details of the comprehensive spending review and what it means for Lewisham, we will continue working hard for local people and ensure Lewisham’s voice is heard.”
Updated at 4.30pm with a line from the spending review and 5.55pm with a comment from Lewisham Council.
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