Laura Sharman Monday, July 2, 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

PA to Service Director - Planning, Transportation and Highways

Wakefield Council
£28,598.00 - £31,537.00, Grade 6, 37 hours
Are you proactive, energised, and ready to thrive in a busy, varied working environment? Wakefield, West Yorkshire
Recuriter: Wakefield Council

Senior Lawyer

Wakefield Council
Grade 10 - Grade 12
Make law matter. Improve lives across the Wakefield District Wakefield, West Yorkshire
Recuriter: Wakefield Council

Team Manager - Child Exploitation and Missing Team

Wakefield Council
Grade 13 SCP 44 £57,770
Are you passionate about making a difference to our citizens and the district that they reside in? Wakefield, West Yorkshire
Recuriter: Wakefield Council

Executive Director of Children’s Services (DCS)

Stockport Metropolitan Borough Council
£149,000 – £175,000
This is a defi ning leadership opportunity in a borough with real momentum Stockport, Greater Manchester
Recuriter: Stockport Metropolitan Borough Council

Director of Adults Commissioning and Provider Services

Trafford Council
£100,731 - £104,625
To help us realise this vision, we are seeking an exceptional Director of Adults Commissioning and Provider Services Trafford, Greater Manchester
Recuriter: Trafford Council
Linkedin Banner