Hospitals face disruption as PFI contracts end

The Private Finance Initiative was conceived as a way of funding infrastructure spending, and getting it off the government's balance sheet.

As a result, in the 1990s a number of investment projects, notably the building and running of hospitals was paid for, and operated by, the private sector on 25-30 year time horizons.

Many of those contracts are on the point of lapsing, meaning that the cost of running them passes back into government hands and the Public Accounts Committee wonders whether or not the government is prepared for this, and about the possible costs involved, not least because the incentive to maintain these facilities is going to decrease the closer they get to being handed back.