§ Mr. MorganTo ask the Chancellor of the Exchequer what measurements he proposes to make of the expected efficiency gains to be provided to the public sector by private sector consortia participating in the private finance initiative; and if these efficiency gains will be required to extend beyond reductions in staff members. [2823]
§ Mr. Jack[holding answer 27 November 1995]: As with all Government procurement, what is sought in private finance projects is the best possible value for money. This is the optimum combination of whole life costs and benefits and involves assessment of efficiency, effectiveness and economy. The staffing levels of private 86W sector contractors are a matter for them. A full explanation of the value for money improvements stemming from the use of private finance is set out in the booklet "Private Opportunity, Public Benefit", a copy of which has been placed in the Library. An example of the benefits to the public of this approach is that the level of reliability for the new Northern line train service is set at four times better than the best fleet currently running on London Underground.