Ministers blame Metronet for collapse

Ministers today sought to escape blame for the collapse of Metronet, the Tube maintenance giant, by passing it on to Metronet itself.

The Government said Metronet's performance was "very disappointing" and that "all parties" would have to learn the " appropriate lessons for the future."

Ministers revealed in February they are having to pay £2 billion to clear the debts of Metronet which went bust last summer. But the final bill - to be met by tax and fare payers - will be much higher.

Metronet - a public-private partnership - had tried to blame Tube bosses for its £2 billion overrun.

A damning report from the crossparty Commons Transport Committee had blamed a fundamental failure both in the way Metronet was set up and operated. Gordon Brown, as chancellor, was one of the principal architects of the PPP.

But in its response, published today, the Government insisted the PPP had been "thoroughly evaluated" and said: "Metronet's collapse... was a corporate failure and that structural weaknesses of Metronet led to its downfall."

However, Norman Baker, Liberal Democrat shadow transport secretary, said: "The Metronet debacle shows just how wrong this Government'sattempts to hide public spending through complex publicprivate partnership deals can go."

Talks are taking place today to avert a four-day Tube strike.

It is planned to run from 6.30pm on Sunday 6 April until 9 April and has been ordered over a raft of alleged safety issues. But Peter Bishop, deputy chief executive of the London Chamber of Commerce, said the strike could cost the capital up to £200 million.