PFI IN SCHOOLS - PASS OR FAIL?
Abstract
During the past eight years the Private Finance
Initiative (PFI) has grown in size as a means of financing and delivering
public sector projects. However until New Labour was elected at the last
general election PFI has had very little impact on local government.
With the new governments suspension of
compulsory competitive tendering in local government and its replacement with
the introduction of Best Value of which PFI has been stated as one of the
possible ways of achieving Best Value. PFI projects have in recent years grown
in number in local government. In particular one area of local government has
seen the bulk of PFI projects, schools.
The introduction of PFI projects into schools
in the UK has generated a great deal of debate as to whether value for money
has been achieved.
This paper
will examine the introduction of PFI into schools and will look at the Glasgow
City Councils schools PFI project, worth £1.2 billion over the lifetime of the
project. An assessment will be made to see if value for money has been achieved
and that the Best Value criteria have been followed.