The Integrated Transport Authority (ITA) manages its affairs to ensure the economic, efficient and effective use of its resources and to safeguard its assets. This is vital if the ITA is to continue to play a leading role in the provision of quality public transport services throughout the Tyne and Wear area.

This task is shared by all members and officers of the Authority. The Treasurer has a particular role in ensuring sound financial stewardship. The purpose of this section is to provide:

• An understanding of how the ITA safeguards its finances and assets
• A review of the Authority's financial results for recent years
• An overview of the ITA's budget for the current year (2007/08)

The Integrated Transport Authority's main source of income is the levy applied to the five constituent local authorities of the ITA (based upon population). This provides 80% of the total income. The other main source of income is derived from Tyne Tunnel tolls on vehicles, used to fund the operation of the Tunnels and the development of the New Tyne Crossing.

The major item of ITA expenditure is a revenue grant to Nexus, the Passenger Transport Executive, to support concessionary travel, the Metro, other bus and rail services, bus infrastructure and the Tyne Ferry.

The lead authority for the ITA is Newcastle City Council which provides financial and other advisory services directly to the Authority.

Further expenditure is incurred by the ITA on financing charges - these relate to principal and interest payments on inherited debts, and grants / loans to Nexus and the Tyne and Wear Districts. The running costs of the Authority also include additional pension contributions in respect of the ITA's obligations to former Busways employees.