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Report cover showing officers looking at a map

Ministry of Defence: The Joint Services Command and Staff College

“The Ministry of Defence is to be congratulated on its success in establishing the new College. Its success demonstrates the benefits of departments showing clear direction and strong leadership when managing change. The College is at the forefront of good practice in its methods for evaluating training and benchmarking, with a strategy that will be of interest to other public sector training bodies.”

Published:
7 Feb 2002
Report cover showing brochures

National Savings: Public-Private Partnership with Siemens Business Services

“This is one of the most remarkable PFI deals we have seen because it has resulted in the transfer to private sector employment of all but some 130 staff of an entire Government department. The number of staff employed on National Savings work will fall but the deal has been structured in such a way that SBS is incentivised to find alternative work for its new employees. There are a number of lessons that other Government departments can learn from this partnership, particularly how National Savings procured the deal and the framework established to manage the partnership with SBS.”

Published:
25 May 2000
Report cover showing railway marshalling yard

Network Rail – Making a Fresh Start

“The improvements to planning and cost control are to be welcomed. The outlook is certainly better than it was in 2001. But there are still serious challenges in Network Rail’s own structure and in the rail industry in general which the Government must overcome if we are to see a reliable and affordable rail network in the future.”

Published:
14 May 2004
Report cover showing magistrates

New IT Systems for Magistrates’ Courts: the Libra Project

“There are a number of lessons that other departments can learn from the problems that the Lord Chancellor’s Department has experienced with the Libra project. Departments should take it as a warning sign that their proposed PFI projects may not be workable if few bidders show initial interest and others withdraw as the procurement process continues. In a single tender situation, Departments need to take special care to safeguard value for money, for example by developing a should cost model to assess the reasonableness of a bid. Up to date contingency plans should be in place on all major contracts so that there is a fallback position if and when a contract goes wrong.”

Published:
29 Jan 2003
Report cover showing Inland Revenue logo

NIRS 2: Contract extension

The Inland Revenue, when required to make major enhancements to its national insurance computer system (NIRS 2) to accommodate significant legislative changes, decided to award a contract extension to Accenture, its existing supplier. And, according to a report from the National Audit Office, published today, the contract extension: offered better value for money than the … Read more

Published:
14 Nov 2001
10 pound notes

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
Houses built under PFI

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
Report cover showing Whitehall

PFI Refinancing Update

“I welcome the new arrangements which the OGC has introduced. They should put the public sector in a much better position to share with the private sector the benefits which refinancing can bring to a PFI project. But this is a complex area and departments will need to become more expert in this topic to enable them to manage the new arrangements effectively.”

Published:
7 Nov 2002
Report cover image showing close-up of scaffolding poles with inset images of construction projects

PFI: Construction Performance

“The theory is that PFI should incentivise the private sector to deliver good quality buildings on time and to the price agreed with the public sector. The results of our census show that this is being achieved in central government.”

Published:
5 Feb 2003