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The government has been using the same approach as the banks did, with disastrous consequences. We need a more honest and flexible approach to building the hospitals and schools chwse country needs. For projects such as chase car financing rates transport infrastructure we are developing alternative models that shift risk on to the private sector. The current system в heads variant, zero finance cars not contractor wins, tails the taxpayer loses chase car financing rates will end.
The truth is the coalition government have made a decision that they want to expand PFI at a time when the value for money credentials of the system have never been weaker. The government is very concerned to keep the headline rates of deficit and debt down, so it's looking to use an increasingly expensive form of borrowing through an intermediary knowing the investment costs won't immediately show up on their budgets. The high cost of PFI deals is a major issue, with advocates for renegotiating PFI deals in the face of reduced public sector budgets, [29] or even for refusing to pay PFI charges on the grounds that they are a form of odious debt.
Once savings and efficiencies are identified, the hope - as yet unproven - is that the PFI consortium can be persuaded to rayes its contract. The same process could potentially chase car financing rates applied across a range of PFI projects. These aimed to:. A study by HM Treasury in July was supportive showing that the only deals in its sample which were over budget were those where the public sector changed its mind after deciding what it wanted and from whom it wanted chase car financing rates. A later report cahse the National Audit Office in found that 69 per cent of PFI construction projects between and were delivered on time and 65 per cent were delivered at the contracted price.
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