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Some 10m Oyster cards have been issued in London

Train operators have agreed to introduce Oyster cards in London after accepting a 20m grant from the mayor.

Ten firms operating surface rail services into London will share the subsidy to install pay-as-you-go Oyster reading equipment.

The electronic cards are used across the city on the Tube, buses, trams and Docklands Light Railway network.

New equipment will have to be fitted in about 260 London stations which do not have fully automatic gates.

Proper funding

George Muir, of the Association of Train Operating Companies, said details of the proposal will need to be ironed out.

"All London train operators will be responding positively to Transport for London's proposal for Oyster pay-as-you-go," he said.

Mr Muir said because further discussion is needed to reach agreement on the proper level of funding for different parts of the network.

Train operators are also calling for progress in dual-reading gates at London's stations so they accept ITSO electronic cards.

The ITSO card, similar to the Oyster card, will be the standard smart card for railway passengers outside London.