PFI initiative saves taxpayer £4m

The Office of Government Commerce (OGC) has today (Wednesday) revealed that significant gains to the taxpayer have been achieved as a result of successful delivery from the Private Finance Initiative (PFI).

Successful refinancings of the Calderdale Hospital PFI Project and the MOD's Joint Services Command and Staff College PFI Project have produced £4m of gains for the taxpayer. The refinancings are a result of the successful completion of the building phase of the projects under the Private Finance Initiative.

These gains demonstrate the success of the concept of partnership in public services, with the gains divided between the public and
private sector partners.

Peter Gershon, chief executive of the OGC, said: "This is good news for the taxpayer now, and good news for the delivery of public services. These gains are possible because PFI contractors have delivered facilities to the public sector to time and to budget. 

"PFI continues to be an effective acquisition tool, helping the government meet its delivery agenda. It demonstrates that both the public and private sectors understand that PFI rightly demands high standards of public accountability, and that both parties are committed to this."