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Private finance initiative (PFI)
- PFI guidance
- New standard preliminary invitation to negotiate (PITN)
- New standard prequalification questionnaire
- New standard output specifications
- Standard contract
- Land and buildings in PFI schemes
- Design development protocol for PFI schemes
- Generic economic model PFI schemes
- Learning lessons from postproject evaluation
- Improving PFI procurement
- Changes to Treasury Green Book
- Investment in IM&T in the NHS
- Social Care PFI Initiative
- New hospital schemes
- Investment Guidance RouteMap
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Social care PFI initiative
The private finance initiative (PFI) procurement method may also be used by local authorities (LAs) for the development of adult social care.
Eligible social care PFI schemes can be awarded PFI credits from DH. The award of PFI credits (paid in the form of an annuity to LAs alongside their central grants) supports PFI in LAs.
It follows the principles of PFI that apply in all other areas, which is that the private sector partner carries out the design, build, financing, operating and maintenance of the build, with payment from the public sector when the building is commissioned, using a payment mechanism that is based on performance and availability standards.
LAs can submit bids to the Department of Health for the award of PFI credits for their schemes. DH has an annual budget out of which the awards are made; these lump sums, which support the capital cost of a scheme, are converted into an annuity by DCLG (Communities and Local Government), which is paid to the council when the unitary charge starts to be incurred.
(Gateway reference: 8451)
Policy criteria
DH has set policy criteria, which must be met for a scheme to be eligible:
Queries
For queries about bids, or any other aspect of social care PFI/LIFT, please contact:
Susan Peak (Social Care PFI policy, independent PFI procurement)
0113 254 5305
John Mann (LIFT policy, social care projects procured via LIFT)
0113 254 5358
Bidding
A bidding round was conducted in 2005, which has now been completed; for information about how to bid in future years, please contact Susan Peak and see Guidance on bidding from 07-08.
Five councils were awarded PFI credits from the 2005 round: Birmingham, Medway, East Sussex, Tower Hamlets and Wolverhampton.
PFI procurement
A LA social care PFI project may be procured through one of two routes, either as a PFI procurement, or via a LIFT scheme. Both are described on the following page.
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