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| 1 minute read

PFI Expiry: Are schools ready?

Today's Schools Week article “Warning sounded as schools not ready to exit PFI deals” highlights schools not being prepared for PFI deals expiring.   Schools Week reports that just 2 out of 41 Councils that had received “health checks” were deemed to be ready.  Yes, just 2!

Schools may have a unique set of features when compared to other PFI assets all of which need to be considered as contract expiry looms.  PFI Schools Projects can involve a range of services being provided to a number of PFI schools under the PFI contract; these services may go beyond the maintenance and management of buildings and extend to catering, ICT, sports/leisure and other services. Layer over this the introduction of academy status and a range of stakeholders and the picture can become complex.

Whilst instigating and resourcing reviews remains a challenge across the board, contracting authorities and other stakeholders should start reviewing PFI projects well in advance of contractual expiry; the IPA recommending review at least 7 years in advance. Those reviews should include contract reviews but also accompanying surveys and financial analysis.  

Reviewing early should not only enable authorities to devise and ensure implementation of plans for a smooth handback but also provide them with an opportunity to form a more strategic view on the procurement and provision of services post-expiry.


construction, litigation & dispute resolution, real estate & projects, construction, contract management, dispute resolution, facilities management, joint ventures, pfi, public services, local government, education sector, public sector