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Private Finance Initiative

Written Parliamentary question to Her Majesty's Government

Thursday, November 5th, 2015

Baroness Walmsley: To ask Her Majesty’s Government whether they have introduced arrangements for sharing gains on the sale of PFI equity shares in new PFI projects, as recommended by the Public Accounts Committee in its report of 2011 Lessons from PFI and other projects.

Lord O'Neill of Gatley: In its response to the Public Accounts Committee’s report, the Government has made clear that it does not agree that it would be desirable to seek a share of gains arising from the sale of shares in existing contracts. There would be a significant negative impact on the confidence of investors, particularly foreign investors, in the UK market and new investment in UK infrastructure would be discouraged.