Carillion

fullfact.org/economy/labour-carillion-contracts/

Interesting figures about Carillion and PFI.
May was correct when she said that 1/3 of contracts were signed by the last Labour government, but the published figures do not include 2016 and 2017. A bit disingenuous, considering they have signed up to HS2 since then. She must have known she was being economical with the truth when she said it.

I seem to remeber massive concerns about PFI in the early 2000s in The Guardian, at least. They ran several stories about how schools & hospitals were being locked into ruinously expensive contracts and idiotic conditions such as schools having to rent their premises out of 'normal' school hours.

I was really concerned because we had the threat of amalgamation with another secondary AND a PFI new build hanging over our heads for 2 or 3 years. Much as I disliked the 2010 GE result the cancellation of Building Schools for the Future was a huge relief.

We're all to bame for PFI, even those who had no idea what it was, and those who didn't vote for Blair, Major, Brown, or Osborne.

www.taxresearch.org.uk/Blog/2018/01/18/after-fifteen-years-of-my-saying-pfi-does-not-work-the-nao-finally-agrees-why-has-it-taken-so-long/

The NAO at last agrees with Richard Murphy that PFI doesn't work.
Like Richard Murphy, I still want to know what they were doing in the meantime. They obviously thought it was a good idea until recently.

Hexham Hospital was built under PFI rules by a consortium including Bovis Lend Lease.
It has now bought itself out of the PFI by borrowing from Northumberland Council, and it will save itself over £67 million in costs.
So it can be done.
However, after that happened, there was a lot of consternation from other PFI trusts, who were scared of losing money. I don't think it's been done since.
Now's the time to start.

It's going to be the same for Brexit, Maizie, we will all be to blame for the mess, including those who wanted to remain.

I think dj's being sarcastic MOnica.

Everyone knows that Thatcher didn't invest in infrastructure, etc. What is more, we all know that she squandered the North Sea oil money on additional bribes to voters tax cuts.

You still haven't explained who the 'we' were that you said had to take some of the blame (for Thatcher?)

dj, 1) I don't. 2) If you don't remember how Mrs Thatcher slashed investment in infrastructure and sold council houses, then the rest of us must be imagining it.

Why was there so much new infrastructure needed by Major?
He followed Thatcher.
Are you suggesting that Thatcher did not build enough roads or houses?
Sold off all the council houses and didn't replace them?

We cannot absolve ourselves from blame.

Who are 'we', MOnica?

Not trying to be argumentative, just genuinely wanting to know who you mean by 'we'.

Your last link is insecure.

Sorry, Monica, I can't.
If you can't be bothered to read the links, then don't. But don't then comment on links you haven't read.

As the French say 'apres moi le deluge' Build now and do not worry about the cost because by the time the bills come in those involved will be off the scene.

All that new infrastructure was needed because Mrs Thatcher refused to invest any money, or very little in the public sector during the 1980s and it is worth remembering that she won over 40% of the vote in 79, 83 and 87, while Labour struggled to get above 30%. www.ukpolitical.info/ConvLab.htm We cannot absolve ourselves from blame.

The primary reason why John Major introduced PFI and it was continued by later governments is simple. The government needed to make a major investment in new infrastructure, but that would require more public borrowing which is fundamentally undesirable for the Conservative Party. PFI is essentially a way of artificially reducing the amount of public borrowing.

The secondary reason is related to the first. There was so much new infrastructure required and PFI offered a solution to getting more projects started.

dj Please could you put the salient points from the sources you quote in your posts please and leave us to click on the link if we want more detail.

Coming to a thread after there have been 8 or more emails posted since it was last seen, it makes it very difficult to get the full flow of the discussion, when all some posts consist of is a link.

www.politics.co.uk/comment-analysis/2018/01/17/carillion-a-story-of-britain-s-fake-markets

An extremely interesting analysis about marketisation of public services, showing why it shouldn't happen.

www.taxresearch.org.uk/Blog/2018/01/18/after-fifteen-years-of-my-saying-pfi-does-not-work-the-nao-finally-agrees-why-has-it-taken-so-long/

And John Major, and George Osborne. You are very selective.

It was Gordon Brown's way of buying votes by building today and paying tomorrow Jen.
Exactly the same as John McDonnell and his borrowing plans.

"This begs the obvious question: why did we ever enter PFI contracts in the first place? The answer is provided on page 11 of the NAO report: PFI is off-balance sheet for national accounts purposes, which means it “results in lower recorded levels of government debt and public spending in the short term”. "

There's another obvious question; what has the NAO been doing until now?

www.opendemocracy.net/neweconomics/pfi-privatisation-national-accounting-rules-encourage-destructive-decisions-time-change/

Time to change.

I have an axe to grind, too, with people who try and fleece the public.

Adonis has an axe to grind as do most of those touched by the Carillion debacle. But I believe experts I respect and I never admired the Vicar of Bray.

Not sure if the guy is a billionaire, ww. Is anyone reporting that? The cladding was put on before he purchased the freehold - is it his problem, or the leaseholders who agreed to the work, or the contractor who did it, or the architect who said it was OK, or the LA who agreed to the plans?
Why is one person wholly liable?

What would happen if the govt didn't pick up the tab and there was another Grenfell? I'd rather they step in and sort it out then try and recoup the money personally. It'll cost every taxpayer 13p. If you're really bothered by it, I'll pay your share.

I think he knows more about Grayling's connections with Carrillion and the railways than you do, though.
I suppose you could be one of those who never believes what experts tell them, too.

dj Lord Adonis has his opinions but I do not have to agree with them.

Gillybob, you do realise that article was in 2015, don't you?