Our Ref:         FOI-3446-1819

Thank you for your request received on 15 March 2019 asking for information about Crossrail2’s current CapEx budget for land and property purchases.

Your request has been considered in accordance with the requirements of the Environmental Information Regulations and our information access policy. I can confirm we hold some of the information you require. You asked:

1. The ICO Decision Notice, para 26, states there are over one thousand properties outside of the 2015 Safeguarding boundary to be included in an updated safeguarding direction.

TfL argue that publication of the map could cause TfL to pay an estimated 20% more (para 34) in increased compensation payments. In paragraph 35, TfL suggest that this could be approx. £2 billion. If £2 billion equates to 20%, it follows that the expected budget for Land and Property is some £10 billion.

The 20% figure referred to in the ICO decision notice is not 20% of the expected future budget for land and Property acquisitions. This figure is a notional allowance for compensation over and above market value of property that arises as a consequence of compulsory acquisition. The 20% figure is explained in the decision notice along with the detail of how the £2bn was arrived at and assists in monetising the potential risk to the project. It should be read in conjunction with the preceding paragraphs which explain the information that TfL submitted to the ICO.
The figures quoted by TfL to the ICO are an estimate of potential future acquisition costs, assuming compulsory purchase powers, of completed built out schemes currently in the planning state along the route of the Crossrail2 Regional scheme that the Crossrail2 project team have been made aware of by Local Planning Authorities and / or developers and which fall outside the 2015 Limits of Safeguarding.

2. PwC’s Funding and Financing Study, Appendix B, states Crossrail 2’s CapEx budget for Land and Property is £1.7 billion.

Appendix B of the PwC report is titled Capital Expenditure and advises that the table uses figures for 2014/15 values that have been calculated by indexing 2012 figures provided by TfL using Tender Price Index (TPI). The figures are not Crossrail2’s CapEx budget for the future delivery of Crossrail2. Crossrail2 does not have a CapEx budget as this will only be established once powers to deliver the project have been confirmed.

3. What is Crossrail 2’s current CapEx budget for land and property purchases?

See above, there is no Crossrail2 CapEx budget for land and property purchases.

4. If it is different from the £10 billion implied in TfL’s submission to the ICO, why is that?

The explanation as to how the £2bn figure was arrived at is set out in answer to Q1.

5. If the CapEx budget is now some £10 billion;

See above, there is no Crossrail 2 CapEx budget for land and property purchases.

6. When was this known?
 
The risk to the project from conflicting development is constantly changing and the figures quoted to the ICO represent a snapshot in time of the then known situation.

7. Why has it grown so exponentially?

See answer to Question 1.

8. Why is this not reflected in any current financial statements?

See answer to Question 1.

If this is not the information you are looking for please feel free to contact me.

Please see the attached information sheet for details of your right to appeal.

Yours sincerely

Gemma Jacob
Senior FOI Case Officer
FOI Case Management Team
General Counsel
Transport for London
[email protected]