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

Apprentice (HGV Technician)

Durham County Council
£15,434 per annum NMW in first year of apprenticeship
Earn. Learn. Qualify.   Do you want to earn while you learn, with the chance of progression once you qualify? Do you want the opportunity to grow, dev Durham
Recuriter: Durham County Council

Floor Layer

Durham County Council
£36,040 p.a. (Made up of £24,027 salary plus £12,013 p.a Interim Operational Allowance)
Durham County Council have an exciting opportunity for the role of a permanent Floor Layer working within Corporate Property and Land, Strategic Facil Durham
Recuriter: Durham County Council

Maintenance Manager

Durham County Council
£38,220 - £41,771
Highways Services are looking for a Maintenance Manager.  To assist in ensuring the timely completion of works operations so as to achieve the optimum Durham
Recuriter: Durham County Council

School Caretaker

Durham County Council
£24,796- £25,185 (Pro Rata)
Temporary Contract for one year. Part-Time, 20 hours per week, Mon – Fri, split shifts Working pattern of daily hours will be negotiated between the H Durham
Recuriter: Durham County Council

Catering Assistant

North Yorkshire Council
£13.28 - £13.28 per hour
We have an opportunity to join our award-winning Facilities Management catering team Wetherby, West Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner