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

Librarian

London Borough of Richmond upon Thames and London Borough of Wandsworth
Salary From £35,391- £42,888 Depending on Skills
Job Title
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Senior Communications Officer

Wyre Borough Council
£39,862 to £42,839
Wyre Council is seeking an experienced and creative Senior Communications Officer to join our Communications and Visitor Economy Service. Poulton-Le-Fylde, Lancashire
Recuriter: Wyre Borough Council

Building Inspector

Wyre Borough Council
Grade 7/8/9 £33,143 - £42,839 plus £6000 Market Supplement
Wyre is a borough that shows the best of Lancashire. Poulton-Le-Fylde, Lancashire
Recuriter: Wyre Borough Council

ICT Training Officer

Wyre Borough Council
£33,143 to £35,412
Are you passionate about technology and driven by helping others develop their digital skills? Poulton-Le-Fylde, Lancashire
Recuriter: Wyre Borough Council

Advanced Skills Worker

Essex County Council
£31931.00 - £36423.00 per annum
Advanced Skills WorkerPermanent, Full Time£31,931 to £36,423 per annumLocation
Recuriter: Essex County Council
Linkedin Banner