Policy
Key UK policy documents on public-private partnerships (PPPs) and private finance initiatives (PFI) can be accessed here. Key documents on PPP policies in other countries can be accessed in the Geographical Regions section of the Resource Centre.
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Financing PFI Projects in the Credit Crisis and the Treasury's Response (Web Page) National Audit Office (NAO), 2010
This report concludes that by setting up an Infrastructure Financing Unit, Treasury helped reactivate the lending market for private finance projects. However while the costs for projects in 2009 represented value for money, Treasury should not presume that continuing the use of private finance at current rates will be value for money.
UKDispelling the Myths: A Pan Canadian Assessment of Public-Private Partnerships for Infrastructure Investments (PDF) The Conference Board of Canada, 2010 This report addresses counter-arguments used in the PPP debate and assesses the benefits and drawbacks o based on recent Canadian evidence. It finds that infrastructure projects deliver savings in costs and time compared to conventional procurement approaches. Canada
Construction Risk - What Risk? (PDF) Bain, Robert, 2010 Project Finance International This article questions the conventional wisdom that the construction phase of PPP projects is the riskiest. Evidence is reviewed from cost-overruns of both PPP and conventionally procured government projects and proposals made for improving risk assessments. UK
In Pursuit of Additional Value: A benchmarking study into alliancing in the Australian public sector (PDF) Department of Treasury and Finance, 2010 State of Victoria This study examines how value for money can be enhanced when using the 'alliance delivery method' for governments' major physical infrastructure projects. It makes a number of detailed observations and policy recommendations. Australia
A Survey of Alternative Financing Mechanisms for Public-Private Partnerships: A research report (PDF) Regan, Michael Prof., 2009
A review of empirical evidence compares approaches to procurement in Australia. It finds that PPPs deliver better value-for-money outcomes on large and complex infrastructure services.
AustraliaInquiry into Public-Private Partnerships: Concluding statement and recommendations (PDF) Finance Committee, 2009 National Assembly for Wales The Assembly enquiry examined the potential benefits, costs and risks involved in PPPs in public service provision. Their original report is elsewhere on the resource centre. This paper provides their conclusions and recommendations for maximising PPP opportunities. UK
Inquiry into Public-Private Partnerships (PDF) Finance Committee, 2008 National Assembly for Wales The Assembly enquiry examined the potential benefits, costs and risks involved in PPPs in public service provision. It then sought to identify any required policy changes and present practical guidance to help the public sector in maximising PPP opportunities. Their conclusions and recommended models were published subsequently in 2009 (also in the library). UK
Making Changes in Operational PFI Projects (PDF) House of Commons Committee of Public Accounts, 2008 The Stationery Office A report on the management of changes to operational PFI projects. It assesses the staff used to manage changes, the reasons for not putting out larger changes to competitive tender, management fees and the value for money of small changes. HC 332 UK
The Value of PFI: Hanging in the Balance Sheet? (PDF) Public Sector Research Centre, 2008 PricewaterhouseCoopers An evaluation of the Private Finance Initiative model in light of the UK Government's decision to adpot International Financial Reporting Standards and thus bring most projects on balance sheet. UK
Infrastructure Procurement: Delivering Long-Term Value (PDF) HM Treasury, 2008 The Stationery Office A report which sets out the Government's strategy for securing value-for-money in major asset and long-term services provision. UK
For Better, For Worse: Value for Money in Strategic Service-Delivery Partnerships (PDF) Audit Commission, 2008 Strategic Service-Delivery Partnerships (SSPs) are a model of long-term public-private partnerships that local councils have used to improve value for money in matters of service delivery. Most councils believe they have secured improvements in value for money that they anticipated, with performance targets being met and surpassed. But there are instances of inefficient contract management, mitigating some of the benefits of SSPs, and there have been clear weaknesses with examples of failed SSPs. The report concludes that SSPs are complex partnerships and to achieve consistent benefits need to be managed effectively, developing a framework outlining issues councils need to consider at all stages of the SSP. UK
Making Changes in Operational PFI Projects (PDF) National Audit Office, 2008 The Stationery Office A controversial report which suggests that changes to operational PFI deals are often poor value for money. Although offering flexibility and a satisfactory quality of work when changes are implemented, the procedure is often costly and prolonged. The report concludes that poor value for money in making changes to ongoing PFI projects is not inevitable. However, the process of change management needs to be improved. In particular, the report specifies factors regarding resources, contract management and the relationship between the public and private sector. UK
Public and Private: Partners in the Public Interest (PDF) Hackett, Paul (ed.), 2007 The Smith Institute A collection of essays which outline the evolution of the UK PPP market. They look in particular at the education, health, custodial and local government sectors as well from the perspective of service delivery, financing and accountability. UK
Building on Success: The Way Forward for PFI (PDF)
Confederation of British Industry (CBI), 2007
Benchmarking and Market Testing the Ongoing Services Component of PFI Projects (PDF) National Audit Office, 2007 The Stationery Office This report examines early examples of benchmarking and market testing techniques in measuring the value of PFI contracts in public services. It finds that value for money has been achieved through value testing in about half of cases. In other cases - including some where the private sector negotiated price increases during these processes - the data are uncertain on whether value for money has been achieved. UK
Improving the PFI Tendering Process (PDF)
National Audit Office (NAO), 2007
This study examines the tendering process for PFI projects following concern that it does not follow best practice and has been poorly handled by the public sector. The report finds that there are various areas for significant improvement and makes a series of recommendations with a view to realising these potential gains.
ISBN: 9780102944563
UK
Built to Serve: The Benefits of Service-Led PPPs (PDF)
Smith, Briony, 2007
Serco Institute
This report proposes that physical infrastructure should not be the starting point in a PPP that is concerned with the delivery of effective services. The infrastructure is merely part of the service solution, and for that reason, it should be designed with the service in mind. Drawing insights from interviews with operational experts across a range of sectors, the report explores what happens when service providers are directly involved in the design and construction process for public infrastructure projects.
Closing America's Infrastructure Gap: The Role of Public-Private Partnerships (PDF) Eggers, William D. and Dovey, Tiffany, 2007 Deloitte A report on how governments in the US can apply PPPs as a tool to help finance major infrastructure projects. US
Private Investment for Public Success (PDF) Alan Milburn, Tim Stone, Steve Reeve, Anna Simons, Ken Anderson, Gary Sturgess and Briony Smith, and Stelio Stefanou, 2006 Policy Network This pamphlet makes the case for increased use of public-private partnerships in long-term UK public service reform. It considers aspects of implementation and evaluation as well as featuring a chapter written by Gary Sturgess and Briony Smith using the custodial sector as a case study. UK
Closing the Infrastructure Gap: The Role of Public Private Partnerships (PDF) William D. Eggers and Tom Startup, 2006 Deloitte Research Report on how governments worldwide can effectively use PPP's as one tool, amongst others, to plug the growing gap between public infrastructure needs and resources. It recommends careful application and tailoring of policies to the unique characteristics of each market sector. UK/US
PFI: Strengthening Long-term Partnerships (PDF) HM Treasury, 2006 The Stationery Office This report was released by the Treasury as part of the UK Budget 2006 documentation. It confirms a continuing role for the PFI in the delivery of modernised public services where it represents value for money, and sets out plans for the launch of a new PFI Operational Taskforce within Partnerships UK. ISBN-10:1-84532-137-5 UK
Report on Operational PFI Projects by Partnerships UK (PDF) Partnerships UK, 2006
A review of the performance of PFI projects during their operational phase, covering a wide range of operational issues impacting on all projects from all sectors that were known to be operational at the end of March 2005.
UKBuilding Flexibility: New Delivery Models for Public Infrastructure Projects (Web Page) Deloitte, 2006 This Deloitte report evaluates the PFI and LEP/LIFT models, and describes the conditions in which they are likely to work best. It proposes five new delivery models which Deloitte believes have the potential to offer improved outcomes in situations where neither PFI nor LEP/LIFT is suitable. UK
Delivering the PPP promise: A Review of PPP Issues and Activity (Web Page) PricewaterhouseCoopers (PwC), 2005
This report looks at the wider, most active markets for PPPs globally. It reviews the benefits and challenges of PPPs, identifies where the model can be most appropriately applied, and makes recommendation on the procurement process.
UKLessons From the Private Finance Initiative in the United Kingdom (PDF) Leahy, Patricia, 2005 European Investment Bank This paper examines the UK experience of PPP/PFI from a value for money perspective. It argues that a rounded view of overall performance has to consider the procurement process, the construction of the asset procured, and the operational performance that follows.
Is the PPP model applicable across sectors? (PDF) Riess, Armin, 2005 European Investment bank Focussing on two key features of a PPP - the bundling of construction an operation of an infrastructure asset, for one, and private ownership for another - this paper argues that the PPP model is suitable for some public services but not for others.
Review of Operational PFI and PPP Projects (PDF) 4Ps, 2005 A review of local authority PFI and PPP programmes as part of an assessment on their ability to deliver public services. UK
Building and Managing Facilities for Public Services (PDF)
Bennett, J and Iossa, E, 2005
Centre for Market and Public Organisation (CMPO)
The authors model alternative institutional arrangements for building and managing facilities for provision of public services, including the use of the Private Finance Initiative (PFI), by exploring the effects on innovative investment activity by providers. The desirability of bundling the building and management operations is analysed, and it is considered whether it is optimal to allocate ownership to the public or the private sector. They also examine how the case for PFI is affected by the (voluntary or automatic) transfer of ownership from the private to the public sector when the contract expires. Asset specificity and service-demand risk play critical roles.
Public Sector Procurement and the Public Interest (PDF) Chevin, Denise (Ed), 2005 The Smith Institute This collection of essays considers those measures that can be taken by public agencies to ensure that PFI contracts are drawn up and carried through in a manner that delivers value for money, flexibility and foresight in service specification, and high-quality design, and which extract the full value of private-sector partners' expertise. UK
Striving for Excellence in Public Service Delivery: Experiences from an Analysis of the Private Finance Initiative (PDF) Broadbent, Jane; Laughlin, Richard, 2004 UK
Partnering in Practice: New Approaches to PPP delivery (PDF)
Brewer, P. K; Johnson, L, 2004
Pricewaterhouse Coopers
The Private Finance Initiative (PFI) (PDF)
Allen, Grahame, 2003
House of Commons Economic Policy and Statistics Section
Advisory Council of Partnerships UK - Annual Report - 2002/2003 (PDF)
HM Treasury, 2003
The Stationery Office
The Green Book: Appraisal and Evaluation in Central Government (PDF)
HM Treasury, 2003
The Stationery Office
Key policy document on discount rates, risk evaluation and taxation treatment
Balancing Act: The Leasing of Government Assets (Web Page) Auditor General, Western Australia, 2003 Report No. 6 Australia
Privatisation & Public Private Partnership Review 2002/2003 Stone, Timothy, 2003 Privatisation and PPP: What are the differences? UK
PFI: Meeting the Investment Challenge
HM Treasury, 2003
The Stationery Office
Complete List of PFI Projects at July 2003
Delivering Better Value for Money from the Private Finance Initiative (PDF)
House of Commons Public Accounts Committee, 2003
The Stationery Office
28th Report of Session 2002-03
Managing the Relationship to Secure a Successful Partnership in PFI Projects (PDF)
House of Commons Public Accounts Committee, 2002
The Stationery Office
42nd report of Session 2001-02
Managing the Relationship to Secure a Successful Partnership in PFI Projects (Report) (PDF)
National Audit Office (NAO), 2002
The Stationery Office
Green Public-Private Partnerships (Web Page)
Office of Government Commerce (OGC), 2002
The Stationery Office
Public Private Partnerhips: A Clearer View
Middleton, Nigel: Davies Paul, 2001
Price Waterhouse Coopers
Building Better Partnerships Commission on Public Private Partnerships, 2001 Institute for Public Policy Research Report by the leading centre-left think tank on the UK experience with PPPs and PFI UK
Finding the Right Partner: Diversity in Local Public-Private Partnerships Joseph, Ella & Kelly, Gavin (eds), 2000 Commission on Public Private Partnerships, Institute for Public Policy Research, London Argues for greater diversity in the kinds of organisations involved UK
The Private Finance Initiative (Web Page) House of Commons Treasury Committee, 2000 The Stationery Office 4th Report of Session 1999-2000 HC 147 UK
Value for Money Drivers in the Private Finance Initiative (PDF)
Arthur Andersen & Enterprise LSE, 2000
The Treasury Taskforce
Seminal study commissioned by the Treasury Taskforce on PFI
The Role of Cost Saving and Innovation in PFI Projects Construction Industry Council, 2000 Survey covering a number of projects on the savings obtained through PFI, and the sources of savings and innovation UK
Examinining the value for money of deals under the Private Finance Initiative (PDF) National Audit Office (NAO), 1999 The Stationery Office The report gives details of how the Value for money is examinined for deals reached under the Private Finance Initiative, and reports on the role the NAO plays in reporting to Parliament the value for money that Governments have achieved. UK
The Benefits of PFI KPMG & the Major Contractors Group, 1998 KPMG Early study on a range of PFI projects
Boundaries Between Public and Private Welfare: A Typology and Map of Services (PDF) Burchardt, Tania, 1997 Centre for Analysis of Social Exclusion, London School of Economics This paper develops a typology of welfare services, using it to clarify discussion about the privatisation of welfare and in analysing changes in expenditure. It also discovers a third dimension between public and private welfare which concerns the extent of the consumer's decision making-power. UK