Investigation into the rescue of Carillion’s PFI hospital contracts
Carillion going into liquidation left two new hospitals unfinished. The projects will now be completed with public finance.
Published:
17 Jan 2020
17 Jan 2020
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Private Finance
PFI and PF2
A briefing on the rationale, costs and benefits of the Private Finance Initiative; the use of and impact of PFI, and ability to make savings from operational contracts; and the introduction of PF2. There are currently over 700 operational PFI and PF2 deals, with a capital value of around £60 billion and annual charges for these deals amounted to £10.3 billion in 2016-17. Even if no new deals are entered into, future charges which continue until the 2040s amount to £199 billion.
18 January 2018
Published:
18 Jan 2018
18 Jan 2018
Review of the VFM assessment process for PFI
The Treasury Committee asked the National Audit Office to undertake an analysis of the VFM assessment process and model for PFI. The assessment process combines a quantitative and qualitative approach to VFM appraisal. Our review focused, primarily, on the use of the financial model in the VFM assessment process and was submitted to the Treasury Committee as part of their inquiry into PF2.
Published:
10 Apr 2014
10 Apr 2014
Savings from operational PFI contracts
Progress on the Government’s initiative to achieve £1.5 billion worth of savings from operational PFI contracts.
Published:
29 Nov 2013
29 Nov 2013
Equity investment in privately financed projects
Equity investors have helped to deliver many public sector infrastructure projects via the Private Finance Initiative and have managed them in ways from which the public sector can learn. Against a background of limited information, evidence gathered by the National Audit Office raises concern that the public sector is paying more than it should for equity investment.
Published:
10 Feb 2012
10 Feb 2012
Lessons from PFI and other projects
Lessons from the large body of experience of using PFI can be applied to improve other forms of procurement. Government should also do more to act as an ‘intelligent customer’ in the procurement and management of projects.
Published:
28 Apr 2011
28 Apr 2011
Financing PFI projects in the credit crisis and the Treasury’s response
By setting up an Infrastructure Financing Unit, Treasury helped reactivate the lending market for private finance projects. While the costs for projects in 2009 represented value for money, Treasury should not presume that continuing the use of private finance at current rates will be value for money.
Published:
27 Jul 2010
27 Jul 2010
PFI in housing
The use of PFI by local authorities to improve housing, usually in areas with a high need for housing and where stock condition is particularly poor, has had a measure of success. However, risks to value for money of the programme have not been managed.
Published:
25 Jun 2010
25 Jun 2010
The performance and management of hospital PFI contracts
Most PFI hospital contracts are well-managed and the evidence indicates that they are currently achieving the value for money expected when the contracts were signed. There continue to be risks, however, to the long-term value for money of these contracts.
Published:
17 Jun 2010
17 Jun 2010
Ministry of Defence: Delivering multi-role tanker aircraft capability
“Shortcomings in the early stages of the project put the MOD in a position where the operational pressures of an aging fleet and the need to maintain the vital air bridge restricted its ability to deliver a solution which achieved value for money.
“Despite taking five years longer than planned to sign a contract, the MOD’s progress in delivering the Future Strategic Tanker Aircraft project has improved since contract signature, and the project is meeting its delivery milestones. But there is more work for the MOD and its suppliers to do to get the best out of the deal.”
Published:
30 Mar 2010
30 Mar 2010