Blair stands firm on Tube PPP

The controversial part-privatisation plan for the Tube is "ready to go" and will pump extra billions into the network, Tony Blair said today.

On the eve of an initial decision on going ahead with the much-criticised PPP proposals, the Prime Minister firmly signalled there would be no climbdown.

The Government would go forward not out of "pride," he told MPs at question time in the Commons, but because it was the right thing to do.

Answering a question from Liberal Democrat leader Charles Kennedy, Mr Blair echoed Transport Secretary Stephen Byers in effectively ruling out any form of compromise which could have part of the Tube to Mayor Ken Livingstone's Transport for London.

He said PPP would help plug a £5billion funding shortfall - cash which was desperately needed.

Funding the Tube solely through public money would not bring about the same level of improvements and would be likely to be dogged with delays, the Prime Minister said.

Mr Kennedy challenged him to "swallow your pride and stop this disaster in the making".

Mr Byers anticipated a battle with Mr Livingstone and his transport commissioner, Bob Kiley, by saying "change is not easy" and claiming ministers did not expect a "quiet life".

Mr Byers said tomorrow should bring a "further step in the modernisation of London Underground." But he faced criticism when it emerged that he will not make his statement until 7pm. In the wake of political fallout over his spin doctor, Jo Moore, Mr Byers was facing further charges he was seeking to "bury" bad news.

However, he said Commons rules prevented him from making the statement any earlier because the London Transport board would not reach its decision until after the regular 12.30 slot for ministerial statements.