London Underground plans to sell off some of its trains so it can raise £875 million to pay for new Piccadilly Line trains. Once sold, LU will rent the trains back in order to keep running its services. Long-term LU will end up spending far more in rent to a private company than if it had paid for the new Piccadilly train upgrade directly.
We know this is a flawed model because it's used on national rail where Train Operating Companies lease their rolling stock from separate company. This is similar to Private Finance Initiatives that have crippled schools and hospitals with debt and drained the public purse into private hands.
The government must restore direct funding to TfL before such costly schemes bleed TfL dry!