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

Highways Supervisor

Amey
£Competitive
We’re excited to offer a fantastic opportunity for a permanent Highways Supervisor to join our NMC North East (NMC NE) team in Dundee Dundee, Dundee City
Recuriter: Amey

Director of Public Health

Salford City Council
£109,483 to £122,620
This is a rare and career-defining opportunity to shape the future of public health Salford, Greater Manchester
Recuriter: Salford City Council

Deputy Chief Executive (Executive Director Corporate Services)

Salford City Council
Up to £158,276 p.a. (pay award pending)
Salford is a bold, ambitious and values-led city. Salford, Greater Manchester
Recuriter: Salford City Council

School Crossing Patrol Officer - Thomas Willingale School

Essex County Council
Up to £13.00 per hour
School Crossing Patrol Officer - Thomas Willingale SchoolPermanent, Term Time£13.00 per hourLocation
Recuriter: Essex County Council

Senior Practitioner - Leaving & Aftercare Team, Mid Essex

Essex County Council
£46574.0000 - £56027.0000 per annum
Senior Practitioner - Leaving & Aftercare Team, Mid EssexPermanent, Full Time£46,574 to £56,027 per annumLocation
Recuriter: Essex County Council
Linkedin Banner