Press Release - PFI: The Laganside Courts
4 June 2003
Sir John Bourn, head of the National Audit Office, reported to
Parliament today that the new Laganside Courts complex in Belfast,
opened in February 2002, is delivering significant benefits.
The combination of Crown, County and Magistrates’ Courts has
improved upon the previously dissipated nature of court provision
in Belfast. Initial reactions from court users have been very
positive and a preliminary review of throughput in the courts has
indicated increased availability and efficiency.
Nevertheless, the Court Service did not undertake all the
actions it might have prior to occupying the new complex.
Performance monitoring was not fully operational and consequently
there were only limited means by which performance against service
standards could be measured.
The procurement of the £40 million PFI deal was handled well and
the contract includes mechanisms which should help to protect value
for money in the future. But there are limitations with the way
availability and performance of the new building is reflected in
payments to Consul. The Court Service negotiated a reduction in the
annual charge from £4.2 million to £3.6 million for agreeing to
limit the size of any abatement for non-availability or poor
performance. The reduced annual charge includes fixed elements so
that 56 per cent of the total amount would still be due, even if
the entire building is out of action. In addition, deductions made
if one of the Courts is unavailable are small. For instance, the
non-availability of a standard Crown Courtroom would reduce the
service payment by approximately £18 an hour.
Putting in place adequate arrangements to measure and manage
performance took a back seat to getting the courts operational. As
a result the Court Service was exposed to the risk that it might be
paying in full for what was sub-standard service delivery, although
there have been no significant examples of unavailability or poor
performance to date. Some problems, such as water ingress, have
been known about for some time but are not yet resolved. Although
formal contract management arrangements are now in place, the Court
Service must maintain a close watch on the performance of the new
building and associated support services in the future.
Sir John Bourn said today:
"This was an early PFI deal and the new courts have only
been up and running for just over a year. It is apparent to us that
the project is an example of imaginative and successful design of a
building that is providing a vastly superior service to its users
than the nineteenth century Crumlin Road Courthouse, good no doubt
in its time, that preceded it. However, there are improvements to
be made in how performance is managed now the courts are open for
business."
Notes for Editors
- The Northern Ireland Court Service, a Department of the Lord
Chancellor, provides administrative support to the Judiciary in the
conduct of courts business and suitable accommodation where
proceedings can be heard. The Belfast Courts handle the bulk of
business in the criminal and civil courts.
- In February 1999 the Court Service let a PFI contract to Consul
Services Ltd to design, build, finance and operate a 16 court
complex (now known as Laganside Courts). The contract is for 25
years at a cost of £40 million. This was the first major
accommodation PFI contract signed in Northern Ireland and the first
of its kind to reach financial close in the court sector in the
United Kingdom.
- Press notices and reports are available from the date of
publication on the NAO website at http://www.nao.org.uk/ Hard copies can
be obtained from The Stationery Office on 0845 702 3474.
- The Comptroller and Auditor General, Sir John Bourn, is the
head of the National Audit Office which employs some 800 staff. He
and the NAO are totally independent of Government. He certifies the
accounts of all Government departments and a wide range of other
public sector bodies; and he has statutory authority to report to
Parliament on the economy, efficiency and effectiveness with which
departments and other bodies have used their resources.
Press Notice 43/03
All enquiries to Mark Strathdene, NAO Press Office:
Tel: 020 7798 7183
Pager: 07699 788580