BBC News Online: UK Politics

American appointed to run Tube

Robert Kiley, the man who ran the New York subway, was appointed to the role of commissioner of transport and now faces the daunting task of improving the performance of the London's tubes and buses.

"In making the appointment of Commissioner of Transport for London I have therefore carried out a search for the best in the world.

"I have offered the job to Robert Kiley who turned New York's transport system from one of the most crisis ridden in the world into one of the best."

Mr Kiley also happens to be the man who oversaw the bond issue to raise funds to invest in the New York subway - the method that Mr Livingstone advocates for London in preference to the government's plans for a public-private partnership.

With the job comes a potential £2 million salary over the next four years - although half that is linked to Mr Kiley's ability to achieve "real improvements" in bus and tube services.

£2m salary 'cheap at the price'

Mr Livingstone said that if the new commissioner made real progress in improving transport then Londoners would consider the salary "cheap at the price".

Asked whether Mr Kiley would be expected to use public transport a Transport for London (TFL) spokeswoman said: "He will not be provided with a chauffeur-driven car."

During his tenure at the New York's metropolitan transportation authority (MTA) Mr Kiley oversaw five transport agencies.

He is credited with turning the MTA around financially, reorganising the subway, buses and commuter rail systems.

TFL currently manages a number of services including buses, and is due to take over the underground next year.