THE PUBLICATION of the report commissioned from accountants Deloitte and louche on the privatsation of Underground should be the last nail in the coffin of Public Private Partnership.
Described by Will Hutton in The Observr as "the most devastating condemnation of PPP"..." "exposing a mendacious gerrymander that sets the report actually sets out little that had not been claimed by the KI. Hutton himself in his own and London Transport Consoner Bob Kiley in his. could previously denounce as ill informed speculation n stamp of accountants able to examine the books for real!
Contine ocTo reports, it is obvious why the government and LUL went to such great lengths to try to keep its findings secret.
First they tried buy Kiley off over the election period, then they sacked him then they used the courts to try to protect "commercial confidentialities".
The only commercial secrets being protected were just what a good deal the private contractors were being Blair, Brown and co. have that the Underg arguca ward if it is shown to bring The YalUC Deloitte and Touche report has been necessary to assume the worst possible public sector performance and com pare it with the best possible of the private sector to even get close to meeting this requirement.
Indeed, it is clear that far from being merely biased the made wildly #SURPUBE exaggerate public failure and Because until now, LUL. funding nas always been on a short-term basis, set from Budget to Budget by the Treasury, investment has been piecemeal and ineffiIt is clear that given stable long-term commitments more efficient regime would ensue. This is the prospect not LUL it seems - who are assumed to be £700 million Reality on its head This turns reality on its head. long-term .... raise money the private sector through Kiley's bond issue proposals.
It would be : even more cost were prepared to raise the funds itself through direct taxation.
Add this assumption - that LUL. per- SHOUT will disrupe Sera vices decided to build in a £1.2 billion "performance adjustment". And then because it is well known that LUL caninvestment and bound have major cost overruns £1.6 TOTACH billion is Fiddler in chief Prescort assumed as the car. No mind that in every that has "overrun" in the past the actual offenders were the very contractors being asked to come in and run the privatised LUL. For it is assumed that the efficiency, delivering everything they promise oa time and to budget. And of course if things do go wrong they will bear the burden and not the public. Or so they claim.
But again here the report accuses the government of a will last 30 years the private sector figures only hold up, at best, for the tas! seven and a half years. After with all the cards in their hands, the privatisers will be free to renegotiate far The sum total then is that the comparison of private to public costs starts false basis, with the full cost of the private sector bids not accounted and then £3.5 billion extra Despite this the private sector bids are still not comment still claims that value for money is their sole criteHarry Sloan missioned a detailed critique of Local campaigners are raising the Outline Business Case -the tempo of activity against and decided to publish this as an 8-page newspaper, to be the NHS, demanding the distributed to every household in Peterborough. treasury shout tung the pro gramme of new hospital buiki. With all of the major health unions, as well as the BMA and In Oxford, stung by com- even the Royal College of Nursing, now opposed to PFI, ments by local MP and Treasury Secretary Andrew campaigns that expose the Smith that he had seen no sien reaty of Pri schemes ano of union anger at PFI schemes home in on their impact on the level and quality of health care meeting held in mid August for local people can win widespread popular support. public sector and other unions In Peterborough, the mes.
Usages of endorsement for Campaign Against the UNISON campaign first target being the Constituency Labour hospital services from the local scheme to switch MPs in areas facing old Radcliffe Infirmary to a such campaigns would new centre in Headington. do well to remember the This had been costed at €7Im: but has now been put Labour MP in Wyre Forest, out to PFi tender at a starting price of £9lm. OCAP intends Health Authority against local to mount a series of high pro- file activities and public meet- campaigners defending Gidderminster Hospital - and ings, including lobbies of paid the price with an embarAndrew Smith's local rassing defeat in June.
Campaigning can make a df. UNISON health activists. ference: and with the new central to the campaign in teresive line being tiket or Oxford, are also at the centre public sector unions nationally of a major campaign against PFI more local campaiens are Ikely funding of a hospital scheme in to make their mark, leaving Peterborough. The local UNI. SON health branch has com- lated in defence of PFI.
Outlook