75% of PFI schemes see cost of services rise

Three-quarters of operational privately financed schemes (PFI) have seen the cost of their services rise in the first five years, CJ can reveal.

The data is based on the first 49 operational PFI schemes to have value tested their services five years into the contract. The results also revealed that 22% of operational PFI schemes saw the cost of services fall, while 3% saw no change.

The database, launched this week by the Treasury and Partnerships UK (PUK), aims to publish value-testing data on all operational PFI schemes on its website.

Andy Carty, head of PUK's Operational Taskforce, which oversees operational PFI schemes, said the database will act as a useful guide for PFI schemes preparing to undergo value testing.

He told CJ: "Although guidance was published by the Treasury early this year, feedback from the public sector revealed there was very little data available to back up the guidance."

The data includes information on how and when value testing is carried out and which service costs have risen or fallen.

PUK's operational taskforce is also launching a series of training courses for the public sector on the contract management of operational PFI schemes. The training courses begin in October and will be run by PricewaterhouseCoopers.