A new report has raised more questions about the government's public-private partnership for the London Underground.

The Transport for London (TfL) review of the government's original financial analysis of the Public Private Partnership (PPP) for the London Underground, has indicted that the projected £4.5 billion worth of savings to the taxpayer could not be justified within the original analysis.

The review of the government's financial analysis, undertaken by PricewaterhouseCoopers, shows that when the original figures are viewed against a standard value for money calculation the £4.5 billion figure vanishes. The review also found that the financial methodology undertaken by PwC in 1999 to reach the £4.5 billion figure is not the same methodology now being used to assess whether the "live" PPP bids are actually value for money to the taxpayer.

Forum Response: Transport for London

Bob Kiley, commissioner for Transport for London, told ePolitix.com: "I have said all along that the PPP will not prove value for money. This analysis proves the government's claim that their discredited part-privatisation of the London Underground would save the taxpayer £4.5 billion has been flawed from day one.

"What's more, the government has been using differing financial methodologies to evaluate value for money at different stages of the PPP process. It is time to end this fundamentally-flawed scheme before the public are forced to suffer another Railtrack on the Tube."