HC Deb 23 July 1996 vol 282 c207W
Mr. Simon Coombs

To ask the Secretary of State for Defence if he will make a statement on the progress of the private finance initiative for the provision, maintenance and management of the RAF's United Kingdom requirement for cars, vans and minibuses. [38989]

Mr. Sykes

To ask the Secretary of State for Defence if he will make a statement on progress with the private finance initiative project for the provision, maintenance and management of the Royal Air Force's United Kingdom requirement for cars, vans and minibuses. [39550]

Mr. Arbuthnot

I am pleased to announce that, following a competition a contract will be placed with LEX Service, for the provision, maintenance and management of the majority of the RAF's UK fleet of cars, vans and minibuses. The RAF has harnessed the opportunities offered by the Government's private finance initiative to secure private sector capital investment and management expertise for these vehicle services. A firm price five-year contract has been negotiated and savings of approximately £17 million are expected over the duration of the contract. The scheme will save money for the taxpayer, maintain the standard of service at less cost and allow the RAF to concentrate on its core business.

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