P3's (Article)

Question 1

List the 8 reasons given for why P3’s are not working

Answer 1

• Do not bring new money: create hidden debt
• Private finance costs more than government borrowing
• Public authorities still bear ultimate risk of project failure
• P3’s don’t guarantee better value for money
• Efficiency gains and design innovation can cause corner-cutting
• Do not guarantee projects on time or on budget
• P3 deals are opague and can contribute to corruption
• P3’s distort public policy priorities and force public services to cut costs