| 1. |
INTRODUCTION |
5 |
| 1.1 | BACKGROUND |
5 |
| 1.2 | SOURCES OF INFORMATION |
5 |
| 2. |
EXECUTIVE SUMMARY |
7 |
| 2.1 | SITUATION ASSESSMENT |
7 |
| 2.2 | FUTURE PROSPECTS |
10 |
| 3. |
BACKGROUND - THE EVOLUTION OF PFI |
12 |
| 3.1 | INTRODUCTION |
12 |
| 3.2 | 1992 - 1997 |
12 |
| 3.3 | 1997 - 2001 |
12 |
| 3.4 | 2001 - 2005 |
13 |
| 3.5 | 2005 TO DATE |
15 |
| 4. |
MARKET OVERVIEW |
18 |
| 4.1 | BACKGROUND |
18 |
| 4.2 | MARKET PERSPECTIVE |
18 |
| 4.2.1 | Departmental Capital Budgets |
18 |
| 4.2.2 | Key Influences on the PFI Sector |
21 |
| 4.3 | OVERALL PFI MARKET |
26 |
| 4.3.1 | Market Size |
26 |
| 4.3.2 | Sector Mix |
29 |
| 4.4 | OVERALL FUTURE PROSPECTS |
32 |
| 5. |
FOCUS ON THE MAJOR DEPARTMENTS |
36 |
| 5.1 | DEPARTMENT FOR TRANSPORT |
36 |
| 5.2 | DEPARTMENT OF HEALTH |
39 |
| 5.3 | THE MINISTRY OF DEFENCE |
43 |
| 5.4 | THE DEPARTMENT FOR DEPARTMENT FOR CHILDREN, SCHOOLS AND FAMILIES |
46 |
| 5.5 | DEPARTMENT FOR COMMUNITIES AND LOCAL GOVERNMENT |
50 |
| 5.6 | THE DEPARTMENT FOR THE ENVIRONMENT AND RURAL AFFAIRS |
53 |
| 5.7 | SCOTTISH GOVERNMENT |
56 |
| 5.8 | NORTHERN IRELAND EXECUTIVE |
59 |
| 5.9 | WELSH ASSEMBLY GOVERNMENT |
62 |
| 5.10 | OTHER DEPARTMENTS |
63 |
| 6. |
PROVIDERS |
65 |
| 6.1 | SUPPLY STRUCTURE |
65 |
| 6.2 | KEY TRENDS |
68 |
| 6.3 | MARKET POSITIONING OF LEADING CONTRACTORS |
69 |
| 6.4 | THE ROLE OF FM PROVIDERS |
73 |
| 6.5 | COMPANY PROFILES OF LEADING CONTRACTORS |
74 |
| TABLES AND CHARTS |
| CHART 1 | NUMBER AND COMBINED CAPITAL VALUE OF PFI PROJECTS SIGNED ANNUALLY 1996 TO SEPTEMBER 2009 |
7 |
| CHART 2 | MIX OF PROJECTS SIGNED IN 2008 BY GOVERNMENT DEPARTMENT BY VALUE |
9 |
| CHART 3 | FORECAST CAPITAL VALUE OF PROJECTS ACHIEVING FINANCIAL CLOSE 2009-2014 |
10 |
| TABLE 4 | TOTAL PUBLIC SECTOR CAPITAL BUDGET - DEPARTMENTAL EXPENDITURE LIMITS OUTTURNS AND PLANS (£BILLION) |
19 |
| CHART 5 | SHARE OF THE TOTAL CAPITAL DEL BY GOVERNMENT DEPARTMENT 2009-10 |
20 |
| CHART 6 | CAPITAL VALUE OF SIGNED PFI DEALS BY YEAR OF FINANCIAL CLOSE (£ BILLION) |
27 |
| TABLE 7 | ADJUSTED CAPITAL VALUE OF PFI MARKET 2003 - 2009 |
28 |
| TABLE 8 | NON-ADJUSTED AVERAGE PROJECT VALUES 2005 -2009 |
28 |
| TABLE 9 | TOTAL SIGNED PFI PROJECTS BY GOVERNMENT DEPARTMENT FROM INCEPTION TO SEPTEMBER 2009 |
30 |
| TABLE 10 | SIGNED PFI PROJECTS BY GOVERNMENT DEPARTMENT 2005 -2009* CAPITAL VALUE (£MILLION) |
31 |
| CHART 11 | MIX OF PROJECTS SIGNED IN 2008 BY GOVERNMENT DEPARTMENT BY VALUE |
32 |
| CHART 12 | CAPITAL VALUE OF PFI PROJECTS ACHIEVING FINANCIAL CLOSE 2005-2014 |
33 |
| CHART 13 | CAPITAL VALUE OF PROJECTS FORECAST TO ACHIEVE PREFERRED BIDDER STATUS IN 2010-11 BY GOVERNMENT DEPARTMENT |
34 |
| CHART 14: | TOTAL PAYMENTS TO CONTRACTORS UNDER PFI CONTRACTS 2009/10 – 2019/20 |
35 |
| TABLE 15 | DEPT. FOR TRANSPORT PFI PROJECTS BY NUMBER AND CAPITAL VALUE 2005-2009 |
36 |
| CHART 16 | CAPITAL VALUE OF PROJECT SIGNINGS - DFT 2005-2011 |
38 |
| TABLE 17 | DEPARTMENT OF HEALTH – PFI PROJECTS BY NUMBER AND CAPITAL VALUE |
40 |
| TABLE 18 | NHS PRIORITISED PFI HOSPITAL SCHEMES IN ENGLAND - STATUS AS OF OCTOBER 2009 |
41 |
| CHART 19 | CAPITAL VALUE OF PROJECT SIGNINGS DH 2005-2011 |
42 |
| TABLE 20 | MINISTRY OF DEFENCE PFI PROJECTS BY NUMBER AND CAPITAL VALUE 2005-2009 |
44 |
| CHART 21 | CAPITAL VALUE OF PROJECT SIGNINGS - MOD 2005-2011 |
46 |
| TABLE 22 | DEPARTMENT FOR CHILDREN, SCHOOLS AND FAMILIES PFI PROJECTS BY NUMBER AND CAPITAL VALUE 2005-2009 |
47 |
| TABLE 23 | PROJECTED NUMBER OF SCHOOL OPENINGS UNDER THE BSF PROGRAMME 2009/10 – 2011/12 |
48 |
| CHART 24 | CAPITAL VALUE OF PROJECT SIGNINGS - DCSF 2005-2011 |
49 |
| TABLE 25 | DEPARTMENT FOR COMMUNITIES AND LOCAL GOVERNMENT PFI PROJECTS BY NUMBER AND CAPITAL VALUE 2005-2009 |
51 |
| CHART 26 | DCLG PROJECT MIX BY VALUE 2005-2009* |
51 |
| CHART 27 | CAPITAL VALUE OF PROJECT SIGNINGS - DCLG 2005-2011 |
53 |
| TABLE 28 | DEPARTMENT FOR THE ENVIRONMENT AND RURAL AFFAIRS – PFI PROJECTS BY NUMBER AND CAPITAL VALUE 2005-2009 |
54 |
| CHART 29 | CAPITAL VALUE OF PROJECT SIGNINGS - DEFRA 2005-2011 |
55 |
| TABLE 30 | SCOTTISH GOVERNMENT – PFI PROJECTS BY NUMBER AND CAPITAL VALUE 2005-2009 |
56 |
| CHART 31 | SCOTLAND GOVERNMENT PROJECT MIX BY VALUE 2005-2009* |
56 |
| CHART 32 | CAPITAL VALUE OF PROJECT SIGNINGS - SCOTTISH GOVERNMENT 2005-2011 |
58 |
| TABLE 33 | NORTHERN IRELAND EXECUTIVE – PFI PROJECTS BY NUMBER AND CAPITAL VALUE 2005-2009 |
59 |
| CHART 34 | NORTHERN IRELAND PROJECT MIX BY VALUE 2005-2009* |
60 |
| CHART 35 | PLANNED LEVELS OF INVESTMENT BY NORTHERN IRELAND EXECUTIVE BY SECTOR 2008-2018 |
61 |
| TABLE 36 | WELSH ASSEMBLY GOVERNMENT – PFI PROJECTS BY NUMBER AND CAPITAL VALUE 2005-2009 |
62 |
| CHART 37 | TOTAL CAPITAL VALUE OF PROJECTS SIGNED BY LEADING OTHER DEPARTMENTS |
63 |
| CHART 38 | TYPICAL STRUCTURE OF SPVS |
66 |
| CHART 39 | TYPICAL STRUCTURE OF A SPV – FINANCIAL INSTITUTION SEPARATE |
67 |
| TABLE 40 | LEADING 20 PFI CONSTRUCTION GROUPS BY REVENUE (£M) AND SECTOR STRENGTH |
71 |
| TABLE 41 | LEADING CONTRACTORS AND PRINCIPAL HEALTHCARE AND EDUCATION CONSORTIA |
72 |
| TABLE 42 | CONSTRUCTION AND ENGINEERING COMPANIES IN THE PFI MARKET AND FM OPERATIONS |
73 |