To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, what the planned source will be of the professional lending skills to be used by the Treasury in lending to private finance initiative projects. (262777)

HM Treasury will use the skills of a combination of Treasury employees and secondees.

To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, what estimate he has made of the average return on capital committed to private finance initiative projects which have been completed and refinanced to date. (262778)

The private finance initiative (PFI) should only be used where it demonstrates value for money in absolute terms and when compared with other forms of procurement. Competition among PFI providers is designed to ensure that the best value for money options are selected, helping to ensure that investors' returns on capital invested in PFI projects are appropriate.

To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, what his latest estimate is of the number of private finance initiative projects for which the Government will provide the full amount of senior debt. (262781)

The Government will determine which projects will receive what quantity of senior debt on a project-by-project basis.

To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, what steps his Department is taking on management of credit risk in circumstances where the Government are providing the full amount of senior debt required by a private finance initiative infrastructure project. (262782)

The Treasury's lending facility will operate at arm's length from the authorities procuring private finance initiative (PFI) projects. It will operate on a commercial basis with robust risk management procedures and will lend on commercial terms.

To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, (1) what steps his Department is taking to ensure value for money from Government lending to private finance initiative infrastructure projects; (262783)

HM Treasury's Green Book (http://www.hm-treasury.gov.uk/data_greenbook_guidance. htm) states that all new policies, programmes and projects should be subject to comprehensive assessment, including an appraisal of value for money.

Private finance initiative projects are required to further test value for money using tailored qualitative and quantitative appraisals which must form part of the project's business case (http://www.hm-treasury.gov.uk/ppp_vfm_index.htm).

Competition among PFI providers is designed to ensure that the best value for money options are selected.

To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, when he expects his Department's lending to private finance initiative projects to have been repaid. (262786)

The Treasury will lend to projects only where appropriate funding is not available from the market. It will be a temporary intervention. As with normal commercial lending these loans will bear interest and will be repaid over the life of the project.

The Treasury envisages selling the loans it makes prior to their maturity as favourable market conditions return.

To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, (1) what pricing structure the Government will use when providing the full amount of senior debt required by a private finance initiative infrastructure project; (262788)

It is intended that the Government will lend to PFI projects on commercial terms, alongside other commercial lenders and/or the European Investment Bank.

The Government will only lend to those PFI projects that cannot raise sufficient debt finance on acceptable terms.

To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, how the private finance initiative infrastructure projects receiving additional Government funding will be selected. (262790)

All PFI projects in procurement (that have, to date, issued a notice in the Official Journal of the European Union (OJEU)) will be eligible for this finance from the Government. Future projects intending to go to market soon will also be eligible, provided they meet the usual value for money and affordability criteria, and subject to Treasury approval before issuing their OJEU notice.

To ask the Chancellor of the Exchequer pursuant to the written ministerial statement of 3 March 2009, Official Report, columns 47-8WS, on Government infrastructure investment, what steps his Department is taking to ensure that returns to private investors on private finance initiative projects supported by his Department's lending reflect the transfer of risk back to the public purse implicit in such support. (262794)

Retaining the PFI structure will mean that the private sector will continue to bear the risk of cost over runs and delays. As such equity investors will continue to bear the primary risk in these projects. Where available, private sector debt will continue to be provided and will therefore also take risk.