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

Pupil and Young Person Supervisor

North East Lincolnshire Council
NJC – point 2 FTE salary – £23,656
Lisle Marsden Church of England Primary Academy wishes to recruit a high-quality Pupil and Young Pupil Supervisors North East Lincolnshire
Recuriter: North East Lincolnshire Council

Rough Sleeper Coordinator

North Yorkshire Council
£34,434 - £38,220 per annum
With the ability to travel to other locations in North Yorkshire Harrogate, North Yorkshire
Recuriter: North Yorkshire Council

School Crossing Patrol

North Yorkshire Council
£12.85- £13.47 per hour
Do you have half an hour to spare in the morning or afternoon? Easingwold, York
Recuriter: North Yorkshire Council

School Crossing Patrol

North Yorkshire Council
£12.85 - £13.47 per hour
Do you have some spare time in the morning and/or afternoon? Norton, Doncaster
Recuriter: North Yorkshire Council

Chief Executive Officer

North East Autism Society
Competitive executive package
The North East Autism Society is seeking a dynamic and compassionate Chief Executive to lead the organisation into its next chapter. Durham (County)
Recuriter: North East Autism Society
Linkedin Banner