§ Sir John StanleyTo ask the Secretary of State for Scotland what steps his Department has taken to implement the private finance initiative announced in the autumn statement on 12 November 1992 and in the Treasury private finance guidance published on 9 December 1992.
§ Mr. LangThe Government's initiative is an important opportunity to capitalise both on the financial resources of the private sector and also its skills, for the provision of important projects and services. I am looking to make the maximum use of the opportunities it provides.
A number of ventures in Scotland are being designed to take advantage of the new arrangements which encourage co-operation between the public and private sectors.
Significant steps to improve transport links through private sector involvement have been taken with the appointment of consultants for two major projects: first, to define the terms of the competition for construction of the central Scotland fastlink scheme between Douglas on the new M6 and Whitburn on the M8, and secondly to conduct feasibility studies on the development of transport links around the firth of Forth, including a second Forth road bridge. The Forth study also endorses the 388W development of a light rapid transit or busway from Edinburgh airport to central Edinburgh and consultants are examining the scope for private finance in this venture.
A consultation document entitled "Where Now?" was recently published, with the purpose of stimulating private sector interest in the provision of in-car traffic control and information systems in Scotland.
The potential for involving private finance in other areas is also being examined. In particular, there may be possibilities for attracting private sector investment in health, higher and further education and government property. The management executive of the national health service has issued information on the initiative to health boards and NHS trusts in Scotland and encouraged them to consider actively how to make full use of the opportunities offered. From 1 April, Scottish higher education institutions will, with the approval of the Scottish Higher Education Funding Council, be able to borrow on the security of Exchequer-funded assets to finance capital developments. Guidance on the procedures which apply have been issued to institutions by the funding council.