Tuesday, 3 March 2009

PFI a disaster waiting to happen that is now happening

We put out this press release today:

PFI a disaster waiting to happen that is now happening

The Government has today announced that it will prop up the Private Finance Initiative (PFI) with £2bn of public money. This exposes the fallacies of PFI that it is more efficient, and that it transfers risk to the private sector.

John McDonnell MP, LEAP Chair, said:

"PFI has been and remains a disaster. It has transferred profits to the private sector and losses to the public sector.

"It was a disaster waiting to happen and we warned the Government about this. However, they ignored us in their reckless pursuit of the Prime Minister's ideology for over a decade.

"It makes the Prime Minister's management of PFIs about as competent as Fred Goodwin's management of RBS."

Andrew Fisher, LEAP Director, said:

"All these projects should now be conventionally funded by the taxpayer - not by the taxpayer subsidising the private sector.

"This shows that the Government's agenda is driven entirely by their neoliberal ideology, with no concern for the taxpayer."

-Ends-

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