§ Mr. PicklesTo ask the Chancellor of the Exchequer how many special purpose vehicles to facilitate public-private finance the Treasury has approved in the last 12 months. [15803]
§ Mr. Andrew SmithThe Treasury does not approve individual special purpose vehicles.
The term special purpose vehicle is often used to describe the corporate body created when private sector companies join together to provide services under a specific public-private partnership. It will be the contractual counterparty to the public sector partner.
363WIndividual Departments will evaluate special purpose vehicles bidding for contracts against standards set for capability, technical capacity, and financial and economic standing. Departments may also have concerns about changes in the special purpose vehicle's shareholders during the life of the contract. Office of Government Commerce guidance on Standardisation of PFI contracts contains advice to Departments on this subject.