Department of Transport boss warned ministers about risk Garden Bridge posed to taxpayer five months ago

Getting a bit sick of this artist's impression to be honest, lads. Image: Heatherwick.

Since April 2012, Philip Rutnam has been the permanent secretary – that is, the head – of the UK Department for Transport (DfT). In that capacity, he's also the “accounting officer”, responsible for ensuring that the department achieves good value for money.

If he's worried that a project will cost too much money, or provide too little benefit, he's entitled to write to his minister to request direction. In this way he can both formally set out his concerns, and – let's be honest about this – make sure it’s not his fault if it all goes tits up.

The reason I mention all this is because, last May, Philip Rutnam did just that. The letter in question concerns London's proposed Garden Bridge, which will be a much loved addition to the skyline or an embarrassing waste of time and money, depending on whose side you're on.

Rutnam begins his letter by explaining why he's writing it in the first place, and how the Garden Bridge came to be DfT's problem. Chancellor George Osborne promised to commit £30m to the project in December 2013, “subject to there being a satisfactory business case for the project".

Rutnam makes clear he was always cynical – “After examining the business case for the project in summer 2014, my judgment was that the transport benefits of the project were limited and came with a relatively high level of risk to value for money”. But, he adds “on the balance of probabilities I considered that this risk was acceptable”.

The problem is that the risk kept increasing, because the amount of money DfT had to make available before construction started – money that would, if the project collapsed, be lost – kept on increasing, too. Why? Because the Garden Bridge Trust (GBT), the charity running the scheme, asked for it. Here's the relevant passage:

One important control on the DfT's contribution is a cap on the amount that can be spent prior to construction. This was originally set at £8.2m, but it has since twice been agreed to increase the cap following requests from the Garden Bridge Trust, and it now stands at a little under £13.5m.

The Trust has now asked for a further increase in its permitted preconstruction spending of up to £15m (across DfT and Tfl combined). This is to underwrite the potential cancellation liabilities that it now will face if the project does not proceed. The Trustees have been advised that under charity law they could become personally liable for the Trust's unmet financial obligations if they have failed to manage risk prudently.

So – to protect the GBT’s trustees, the trust asked DfT and Transport for London (TfL) to underwrite their liabilities. Except that TfL then asked to be excused, too:

Following recent discussions with the Mayor of London, DfT has been asked to increase its pre-construction exposure by up to £15m to underwrite the potential cancellation liabilities.

And, Rutnam warned, for all sorts of reasons – GBT’s failure to acquire land on the South Bank, the need to raise another £40m in private donations – “the probability of these liabilities materialising is not negligible”.

The result:

If we increase our pre-construction commitment as requested and the bridge does not proceed, there would be cancellation costs to the public sector of up to £15m. This is in addition to sunk costs of around £13.5m committed by DfT and £22m by TfL. In this scenario, around 90% of the cost of the cancelled bridge would have been provided by the public sector funders, and DfT specifically would have provided up to a half of the total amount spent. In my judgment, this represents a disproportionate level of exposure for the Exchequer to the risk of failure on a charity-led project that was intended to be funded largely by private donations.

Look past the civil service jargon, and this is quietly damning. Rutnam is saying exactly what the Garden Bridge's critics have been saying since the project began: that, even though its transport benefits are limited, the cost of the project was  falling disproportionately on the taxpayer.


And yet, ministers decided the project would still go ahead. Go figure.

We approached the Garden Bridge Trust for comment. It said it couldn't comment on internal government communications.

This morning, the National Audit Office, a government spending watchdog, published its long-awaited report on the  project. It found that there is significant risk the bridge would never be built, and the DfT stood to lose as much as £22.5m if that happened.

And if the project isn't cancelled?

If the project continues, it is possible that the government will be approached for extra funding should the Trust face a funding shortfall. The project has faced cost increases and delays to the schedule. The pattern of behaviour outlined in this report is one in which the Trust has repeatedly approached the government to release more of its funding for pre-construction activities when it encounters challenges. The Department, in turn, has agreed to the Trust’s requests.

The Garden Bridge Trust is commenting on this one. Here’s the first paragraphs of its statement:

The Garden Bridge is a visionary project, connecting the South Bank with the North Bank, Covent Garden, the city and beyond.  It is the first of its kind, a pedestrian walkway through a garden of 270 trees, hedging, shrubs and plants.  It is an asset funded primarily by the private sector and bequeathed to London, enabling 9,000 commuters each weekday to cross the Thames without having to share a Bridge with traffic.  It will be a fantastic place for people to visit for free, 365 days a year.

It is right that there is scrutiny of the project because it involves public money and transparency is good for us at an uncertain time.

Draw your own conclusions.

Jonn Elledge is the editor of CityMetric. He is on Twitter, far too much, as @jonnelledge.

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12 things we learned by reading every single National Rail timetable

Some departure boards, yesterday. Image: flickr.com/photos/joshtechfission/ CC-BY-SA

A couple of weeks ago, someone on Twitter asked CityMetric’s editor about the longest possible UK train journey where the stations are all in progressive alphabetical order. Various people made suggestions, but I was intrigued as to what that definitive answer was. Helpfully, National Rail provides a 3,717 page document containing every single timetable in the country, so I got reading!

(Well, actually I let my computer read the raw data in a file provided by ATOC, the Association of Train Operating Companies. Apparently this ‘requires a good level of computer skills’, so I guess I can put that on my CV now.)

Here’s what I learned:

1) The record for stops in progressive alphabetical order within a single journey is: 10

The winner is the weekday 7.42am Arriva Trains Wales service from Bridgend to Aberdare, which stops at the following stations in sequence:

  • Barry, Barry Docks, Cadoxton, Cardiff Central, Cardiff Queen Street, Cathays, Llandaf, Radyr, Taffs Well, Trefforest

The second longest sequence possible – 8 – overlaps with this. It’s the 22:46pm from Cardiff Central to Treherbert, although at present it’s only scheduled to run from 9-12 April, so you’d better book now to avoid the rush. 

  • Cardiff Central, Cardiff Queen Street, Cathays, Llandaf, Radyr, Taffs Well, Trefforest, Trehafod

Not quite sure what you’ll actually be able to do when you get to Trehafod at half eleven. Maybe the Welsh Mining Experience at Rhondda Heritage Park could arrange a special late night event to celebrate.

Just one of the things that you probably won't be able to see in Trehafod. Image: Wikimedia/FruitMonkey.

There are 15 possible runs of 7 stations. They include:

  • Berwick Upon Tweed, Dunbar, Edinburgh, Haymarket, Inverkeithing, Kirkcaldy, Leuchars
  • Bidston, Birkenhead North, Birkenhead Park, Conway Park, Hamilton Square, James Street, Moorfields
  • Bedford, Flitwick, Harlington, Leagrave, Luton, St Albans City, St Pancras International

There is a chance for a bit of CONTROVERSY with the last one, as you could argue that the final station is actually called London St Pancras. But St Pancras International the ATOC data calls it, so if you disagree you should ring them up and shout very loudly about it, I bet they love it when stuff like that happens.

Alphabetical train journeys not exciting enough for you?

2) The longest sequence of stations with alliterative names: 5

There are two ways to do this:

  • Ladywell, Lewisham, London Bridge, London Waterloo (East), London Charing Cross – a sequence which is the end/beginning of a couple of routes in South East London.
  • Mills Hill, Moston, Manchester Victoria, Manchester Oxford Road, Manchester Piccadilly – from the middle of the Leeds-Manchester Airport route.

There are 20 ways to get a sequence of 4, and 117 for a sequence of 3, but there are no train stations in the UK beginning with Z so shut up you at the back there.

3) The longest sequence of stations with names of increasing length: 7

Two of these:

  • York, Leeds, Batley, Dewsbury, Huddersfield, Manchester Victoria, Manchester Oxford Road
  • Lewes, Glynde, Berwick, Polegate, Eastbourne, Hampden Park, Pevensey & Westham

4) The greatest number of stations you can stop at without changing trains: 50

On a veeeeery slow service that calls at every stop between Crewe and Cardiff Central over the course of 6hr20. Faster, albeit less comprehensive, trains are available.

But if you’re looking for a really long journey, that’s got nothing on:

5) The longest journey you can take on a single National Rail service: 13 hours and 58 minutes.

A sleeper service that leaves Inverness at 7.17pm, and arrives at London Euston at 9.15am the next morning. Curiously, the ATOC data appears to claim that it stops at Wembley European Freight Operations Centre, though sadly the National Rail website makes no mention of this once in a lifetime opportunity.

6) The shortest journey you can take on a National Rail service without getting off en route: 2 minutes.

Starting at Wrexham Central, and taking you all the way to Wrexham General, this service is in place for a few days in the last week of March.

7) The shortest complete journey as the crow flies: 0 miles

Because the origin station is the same as the terminating station, i.e. the journey is on a loop.

8) The longest unbroken journey as the crow flies: 505 miles

Taking you all the way from Aberdeen to Penzance – although opportunities to make it have become rarer. The only direct service in the current timetable departs at 8.20am on Saturday 24 March. It stops at 46 stations and takes 13 hours 20 minutes. Thankfully, a trolley service is available.

9) The shortest station names on the network have just 3 letters

Ash, Ayr, Ely, Lee, Lye, Ore, Par, Rye, Wem, and Wye.

There’s also I.B.M., serving an industrial site formerly owned by the tech firm, but the ATOC data includes those full stops so it's not quite as short. Compute that, Deep Blue, you chess twat.

10) The longest station name has 33 letters excluding spaces

Okay, I cheated on this and Googled it – the ATOC data only has space for 26 characters. But for completeness’ sake: it’s Rhoose Cardiff International Airport, with 33 letters.

No, I’m not counting that other, more infamous Welsh one, because it’s listed in the database as Llanfairpwll, which is what it is actually called.

 

This sign is a lie. Image: Cyberinsekt.

11) The highest platform number on the National Rail network is 22

Well, the highest platform number at which anything is currently scheduled to stop at, at least.

12) if yoU gAze lOng into an abYss the abySs alSo gazEs into yOu

Image: author's own.

“For I have seen God face to face, and my life is preserved”, said Thomas.

Ed Jefferson works for the internet and tweets as @edjeff.

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