May 20 2008
UNISON has called on the Scottish government to stop inventing new ways of delivering PFI and start practical steps to abandon it.
Scottish secretary Matt Smith today rejected ministers' plans to attract investment to build schools, hospitals and other public service infrastructure projects as 'PFI-lite'.
Rather than replacing the controversial PFI and PPP schemes as intended, the new system looked like a way to continue with private sector funding and running of public services, he said.
"This merely puts a gloss of accountability on a fundamentally flawed base," Mr Smith commented.
"No amount of spin can change the fact that the private sector will continue to build, design and run public services under this plan, and they will continue to take a profit out of our essential services."
Citing UNISON research, which found that billions of pounds of taxpayers' money is being wasted on expensive PFI projects that could be built more cheaply using conventional funding, Mr Smith said: "Evidence is stacked against PFI. The public have said they do not want it, and it is time to say 'no more'."
UNISON has already set out its own five-point alternative to PFI:
- reviewing existing contracts;
- not awarding new contracts;
- awarding government capital grants equally to all projects, irrespective of procurement methods;
- introducing prudential borrowing for health boards;
- strengthening the PPP staffing protocol.