HC Deb 15 December 1997 vol 303 cc58-60W
Mr. Simon Hughes

To ask the Secretary of State for Health (1) how many PFI schemes are currently under consideration; and what the total revenue commitment of the NHS is to these schemes; [19469]

(2) what his estimates are for (a) 1977–98, (b) 1998–99, (c) 1999–2000, (d) and (e) 2000–2001 onwards of total annual revenue commitments of the NHS at a consequence of all PFI schemes entered into to date. [19470]

Mr. Milburn

[holding answer 9 December 1997]: The Government have prioritised 15 major Private Finance Initiative schemes. The schemes at Dartford and Gravesham NHS Trust and Carlisle Hospitals NHS Trust have already reached financial close and started construction. Information on the revenue consequences of PFI schemes with a capital value under £10 million is not collected centrally.

Details of the unitary charge payable to the private sector in the remaining 13 schemes are being negotiated and therefore commercially confidential until financial close is achieved. We estimate, however, the total revenue commitments on major PFI schemes at 2001–02 will represent less than 0.5 per cent. of revenue spend in the Hospital and Community Health Services.

The estimated unitary payments for the two schemes which have reached financial close are set out in the table.

Estimated annual unitary payment
£ million
Dartford and Gravesham NHS Trust Carlisle Hospitals NHS Trust
2000–01 12.5 9.1
2001–02 16.6 10.9
2002–03 16.6 10.9
2003–04 16.6 10.9
2004–05 16.6 10.9
2005–06 16.6 10.9
2006–07 16.6 10.9
2007–08 16.6 10.9
2008–09 16.6 10.9
2009–10 16.6 10.9
2010–11 16.6 10.9
2011–12 16.6 10.9
2012–13 16.6 10.9
2013–14 16.6 10.9
2014–15 16.6 10.9
2015–16 16.6 10.9
2016–17 16.6 10.9
2017–18 16.6 10.9
2018–19 16.6 10.9
2019–20 16.6 10.9
2020–21 16.6 10.9
2021–22 16.6 10.9
2022–23 16.6 10.9
2023–24 16.6 10.9
2024–25 16.6 10.9
2025–26 4.1 10.9
2026–27 10.9
2027–28 10.9
2028–29 10.9
2029–30 10.9
2030–31 1.8
2031–32
Total unitary payments 415 327
1. Figures in 1996 prices and are subject to indexation.
2. Payment for a PFI contract does not commence until the hospital is operational. Figures assume that both schemes become operational during 2000–01.
3. The figures assume full availability and performance standards are met throughout.

Dr. Brand

To ask the Secretary of State for Health what proportion of revenue and capital charges will be required to service the current PFI projects with a capital value over £10 million. [19862]

Mr. Milburn

[holding answer 11 December 1997]: A Private Finance Initiative contract is for the provision of a fully serviced hospital facility. A National Health Service trust pays for the service by means of a single unitary payment. The unitary payment includes elements of cost for the provision and maintenance of assets, the supporting facilities management and financing. It is therefore, not appropriate to attempt to disaggregate the price charged for these services.

The annual unitary payments for the two major PFI schemes that have reached financial close are expected to be: Dartford and Gravesham NHS Trust: £16.6 million Carlisle Hospitals NHS Trust: £10.9 million.