To ask the Secretary of State for Children, Schools and Families what average rate of interest is being paid on the 30 Building Schools for the Future contracts which had been signed with the private sector by the end of March 2009. (275629)

[holding answer 18 May 2009]: There were 18 signed projects at the end of March 2009 involving private finance; the average all-in rate of interest was 5.88 per cent.

To ask the Secretary of State for Children, Schools and Families what rate of interest is being charged by the Government on the £2.4 billion set aside as the additional HM Treasury contribution to private finance initiative schemes in the Building Schools for the Future programme. (275630)

[holding answer 18 May 2009]: The rate of interest to be charged by the Treasury's Infrastructure Finance Unit (TIFU) to assist Building Schools for the Future PFI projects is not set in advance. It will lend on a commercial basis and at rates applicable in the market at the time of financial close of a project.

The £2.4 billion relates to the value of BSF PFI projects in procurement at the time of the announcement according to figures provided to HMT as part of the pre-Budget PFI data collection exercise.

Not every project is expected to require assistance, only those projects which cannot secure debt finance on acceptable terms.