Question to the Department of Health and Social Care:

To ask the Secretary of State for Health and Social Care, what assessment he has made of the potential merits of renegotiating current private finance debt to reduce future payouts.

Private Finance Initiative (PFI) contracts are not held by the Department. Contracts are held between the local National Health Service trust and their respective private finance company. The contracts were let for a prescribed period of time, with the terms set at the outset and limited areas for renegotiation.

The Department’s Private Finance Team together with the National Infrastructure and Service Transformation Authority provides expert support and advice to NHS trusts with PFI contracts on a case-by-case basis, considering all options available whilst maintaining contractual compliance. This includes, but is not limited to, improving the performance of existing contracts, assessing the costs of existing contracts and where efficiencies and savings can be realised, and managing hand back of the assets at the end of the contract term. The Department’s Private Finance team also continues to assess opportunities to refinance debt where possible and where it would be value for money.