The London Development Agency is introducing a new monitoring regime as it battles to overcome allegations it inappropriately awarded millions of pounds in grants. Financial Times

Manny Lewis, LDA chief executive, outlined a tougher review system for the projects the economic development agency supports as well as pledging to increase partnership with the private sector and work more closely with the capital’s biggest companies.

Lewis will today attempt to defuse the row over alleged misuse of LDA grant funds when he appears before a special session of the London assembly.

Lewis insisted that claims in the Evening Standard newspaper, were 'politically driven' and timed 'undoubtedly' to coincide with the start of Ken Livingstone’s campaign to be reelected as London mayor.