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Roads: Private Finance Initiative

Volume 463: debated on Monday 10 September 2007

To ask the Secretary of State for Transport what proportion of estimated payments under her Department’s private finance initiative contracts is projected to be spent on road constructions in each year between 2008 and 2019. (152470)

The Department is unable to make such projections, because the proportion of PFI payments to be spent on road construction will depend on the development and procurement of PFI contracts in future, and on contractor performance.

The HM Treasury website provides updated details (on a six monthly basis) of awarded PFI projects overseen by the Department for Transport. The project details include the awarding authority, date of financial close, total capital value and the annual unitary charge payment. This information is available at:

http://www.hm-treasury.gov.uk/documents/public_private_partnerships/ppp_pfi_stats.cfm

The forecasts of future payments are subject to the performance of the private sector contractor.

The unitary charge payments represent repayments of the capital (sum of the capital spend) of the project and will also frequently include inflation, service provision and major refurbishment.