PFI contracts could cost taxpayers £200bn over 25 years

PFI is a boondoggle for UK contractors and a bad deal for taxpayers.

The Guardian reports that UK taxpayers will be forced to give £200bn to contractors over 25 years because of private finance initiative (PFI) deals.

According to a report by the National Audit Office (NAO), PFI projects can be as much as 40 percent higher in cost than they would be if they were simply financed publicly. This finding follows an audit of more than 700 public-private projects which have yielded seemingly no financial benefit.

Further, the government, ergo, taxpayers, are set to lose a £2.6m equity stake in a project owned by now-collapsed Carillion.

Source: Taxpayers to foot £200bn bill for PFI contracts – audit office | Politics | The Guardian