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PFI and the Implications of Introducing New Long- Term Actors into Public Service Delivery

Glasgow Caledonian University

John Hood

Glasgow Caledonian University

Public Private Partnerships / Private Finance Initiative (PPP/PFI), play a significant role in the renewal of the UK's public services. For some commentators, the policy has been associated with poor value for money for the public sector while the private sector is virtually guaranteed steady profits over extended periods of time. This paper explores a policy aspect which so far has not attracted so much attention; that of the PPP/PFI market and more specifically the possibility of failure of private sector companies which have undertaken responsibility for the provision of public services. It concludes that the long term success of PFI projects is linked to the sustained involvement of the private sector companies. Failures of private companies can result in service deterioration, disruptions and increased costs to the public sector.

Public Policy and Administration, Vol. 21, No. 4, 23-41 (2006)
DOI: 10.1177/095207670602100404


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