HC Deb 15 July 1996 vol 281 c387W
Mr. Redmond

To ask the Secretary of State for Health if he will review the impact of the private finance initiative on capital development in the NHS; if he will ensure that there is no reduction in capital investment in the NHS from public funds; and if he will make a statement. [36397]

Mr. Horam

The private finance initiative benefits capital development in the national health service by giving the NHS access to private sources of finance where this offers best value for money and transfer of risk to the private sector. It also enables the NHS to make the best possible use of private sector skills and experience. Some 57 privately-financed schemes worth over £1 million each have been approved to date, with a total capital value of £524 million, and schemes worth about £1.5 billion are currently testing for private finance. We cannot guarantee what the level of capital spending will be in the future, but what matters is not the level of public funding alone, but the total funding available to the NHS from public and private sources.