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

Head of Pensions - Projects

Royal Borough of Greenwich
£63,966 - £67,575 (FTE)
The Royal Borough of Greenwich has an opportunity for a Head of Pensions - Projects, with experience of the Local Government Pension Scheme. Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Principal Public Health Manager (Population Health Management)

Royal Borough of Greenwich
PO8 - £63,966 - £67,575
This is an exciting opportunity to make a difference to the health outcomes of the population of Greenwich. Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Supervising Associate Lawyer

Essex County Council
£62691.0000 - £73753.0000 per annum
Supervising Associate Lawyer - Dispute Resolution/Civil LitigationPermanent, Full Time£62,691 - £73,753 per annumLocation
Recuriter: Essex County Council

Residential Care Practitioner (Children's)

Kirklees Metropolitan Council
£28,251 - £36,057 (Inclusive of 7% enhancement)
Children’s Support Workers provide in‑person support across a range of Kirklees locations. Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

HR Advisor (Policy, Pay and Reward)

Kirklees Metropolitan Council
£17,217-£20,388
Join Our Policy, Pay and Reward Team Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council
Linkedin Banner