The Government's plans for a publicly run, privately built tube will deliver around £13 billion of investment to improve the underground's infrastructure over the next 15 years. The Secretary of State has made it clear that he will only be prepared for these plans to go ahead if he is content that they represent value for money.
London Underground is carrying out a thorough evaluation of all bids, assisted by its financial advisers PricewaterhouseCoopers and its engineering advisers Ove Arup. I understand that London Underground is also asking KPMG, its external auditor, to review the public sector comparators that London Underground has developed to guide its value for money evaluation.
In addition, Ernst & Young will be providing the Secretary of State with an independent opinion on London Underground's evaluation of the final PPP bids, focusing on the overall robustness of the value for money conclusions reached by London Underground and its advisers.