HC Deb 01 November 1999 vol 337 c13W
Mr. Hancock

To ask the Secretary of State for Defence (1) what estimates he has made of the savings in each of the next five years through the RAF private finance initiative for the non-combat vehicle fleet management project; [95755]

(2) what estimate he has made of the economies of scale which could result from a tri-services private finance initiative for non-combat vehicle fleet management; and if he will make a statement. [95795]

Mr. Kilfoyle

A five year PFI contract for the RAF non-combat vehicle fleet was placed in 1996. It is expected to deliver total savings of almost £6 million in Net Present Value terms against conventional procurement methods. Five further non-combat vehicle PFI projects, covering national tri-Service requirements on a regional basis, are under way. It is not possible at this stage to quantify the savings which are expected from the five tri-Service contracts and the re-let of the RAF contract.