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Ludford calls for London Tube exemptions from EU tendering rules

November 13, 2001 12:00 AM

Baroness Sarah Ludford, Liberal Democrat MEP for London, is calling on the Socialist MEPs, including British Labour Euro-MPs, and also British Conservatives, to support her amendments [on the Meijer report on passenger transport contracts] in order to exempt systems like the London Tube from EU-wide rules on competitive tendering of transport services.

"Transport competitive tendering can be a good idea to achieve better services. It has worked satisfactorily for a decade for London's buses. Municipal socialism has often given passengers a rotten deal.

"But for large complex systems like the London Underground, tendering is not the answer. It either means splitting up the network, which could be unsafe and costly, or tendering the whole lot, which could end up with a permanent privatised monopoly.

"The Socialists are relying on a catch-all provision, designed to suit Paris, purporting to exempt democratically elected authorities from any tendering at all. But that would rule out even sensible improvements, its drafting is legally weak and its scope unclear*. They should support my tailored amendments to be sure of meeting London's needs."

The Ludford amendments put forward in the name of the European Liberal Democrat group, drafted in close consultation with Transport for London, would mean that authorities like the Mayor & Greater London Authority would not have to put their metro or tram services out to tender if reasons of safety, cost, or likely creation of a permanent privatised monopoly justified an opt-out. These reasons would have to be substantiated to the European Commission.

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