PFI Contractual and Performance Issues? GK Transformation can help.

GK Transformation are delighted to announce that we have been appointed NHS specialist advisors to support Local Partnerships on the National Framework Agreement for PFI Consultancy Services issued by NHS London Procurement Partnership in collaboration with Guy’s and St Thomas NHS Foundation Trust.

Together, we have been engaged to provide a wide range of specialist PFI advice to include financial, legal, and technical services covering all aspects of advice required to provide a comprehensive PFI contract review service.

The objective of the Framework Agreement is to deliver the following business benefits:
To provide NHS trusts and other public sector organisations with a total ‘one stop shop’ PFI review service utilising a team of highly experienced PFI finance, technical and legal experts.
To provide NHS trusts and other public sector organisations with a truly independent and trusted ‘critical friend’ with no vested interest, other than a desire to see NHS PFI services being delivered more effectively and efficiently.
The support will range from light-touch desktop review to supporting NHS trusts to implement the savings identified.

In 2011 HM Treasury announced plans to find £1.5 billion in PFI savings across department projects. The health sector has around £6.9 billion in remaining PFI costs across 209 signed projects the largest numbers in the PFI market. The NAO reported in 2012 that the Department of Health had signed only £61 million in PFI savings.

Following the Carter Report, NHS Trusts are under increasing financial pressures. The report highlights that there is the potential still to extract significant financial savings from PFI projects. The current fiscal environment requires all NHS trusts to scrutinize all areas of spending for possible savings, including operational PFI contracts.

Would welcome an opportunity to hear from others, how their experience with managing their PFI contracts is going and any tips on improving financial and service improvement.