The British government's controversial plan to part-privatise the London Underground will go ahead after the Mayor of London, Mr Ken Livingstone, yesterday lost his case for a judicial review.
In a ruling Mr Livingstone says he may challenge but has little prospect of overturning, the High Court concluded the Blair government and not the Mayor had "the last word" on the future of London's Tube network.
Lawyers for Mr Livingstone had argued that if implemented the £13 billion public-private partnership (PPP) would result in a "fragmented, inefficient, uneconomic and unsafe" Tube. But the government insisted the plan would bring much-needed funds to a transport network struggling to deliver an essential service after 40 years' under-investment.
Mr Livingstone said that as the court had indicated, the ruling was not about whether the PPP was safe or efficient, "simply that, irrespective of these issues, the government has the legal right to impose this scheme on London". He will consult his lawyers before making a decision on whether to appeal.
Under the PPP, maintenance and renewal of the track system and signals will be carried out by three private consortiums operating 30-year contracts, while London Underground will be responsible for management on the system. Critics of the system say splitting responsibilities could lead to safety problems similar to those experienced by Railtrack following privatisation of the national rail network.
However, one of London Underground's leaders, Mr Derek Smith, described the High Court's decision as a "great result" for London. "The debate is over as far as I'm concerned, it is time for action."