Laura Sharman 02 July 2018

Councils withheld just £32m last year on underperforming PFI deals

Councils withheld £32m last year from underperforming PFI providers, according to new research published today.

Law firm Collyer Bristow found only 0.3% of annual payments to all PFI providers were held back, suggesting local authorities are paying for poor or undelivered services.

The research shows that Birmingham City Council accounted for nearly half this figure after it held back £14m following a long running dispute with Amey.

Catrin Rees, senior associate in Collyer Bristow’s Construction team, said: ‘Councils - and ultimately taxpayers - should not be paying for services if they are not being delivered by PFI contractors.

‘However, if local authorities feel that their providers may not be holding up their end of the agreement, then it’s obviously sensible to consider revisiting the original agreements and taking advice on whether there are grounds to reduce or withhold payments to get a better service for taxpayers.’

SIGN UP
For your free daily news bulletin
Highways jobs

Shift Lead (Longlands) Adult Social Care

West Northamptonshire Council
£28,716
Longlands Care home is situated in Daventry, we offer a happy and safe living environment in which our residents can enjoy an enhanced quality of life. Our Team of friendly and committed staff provide the highest level of care and specialise in supportin Daventry
Recuriter: West Northamptonshire Council

Senior Technician-Road Closures

Derbyshire County Council
£35,422 - £38,730
The Network Planning division is seeking to appoint someone who is enthusiastic and a team player Derbyshire
Recuriter: Derbyshire County Council

Technician - Road Closures (2 Posts)

Derbyshire County Council
£29,719 - £31,691
The Network Planning division is seeking to appoint someone who is enthusiastic, an excellent team player Derbyshire
Recuriter: Derbyshire County Council

Future Parks Officer (CDC)

City Of Doncaster Council
Grade 8 £33,708 - £37,399 pro-rata
It is an exciting time to be involved in health, wellbeing and community support in Doncaster Doncaster, South Yorkshire
Recuriter: City Of Doncaster Council

Trainee Personal Adviser

Sandwell Metropolitan Borough Council
£37,280-£41,771
You will support young people aged 14–19 (up to 25 with SEND), including those with Education, Health and Care Plans (EHCPs) Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council
Linkedin Banner