04 June 2004
Senior private sector figures have pointed the finger at government organisations and blamed them for refusing to make information on Private Finance Initiative deals available to the public.
Supporting a call for greater openness by the Blairite think-tank the Institute for Public Policy Research, business representatives have claimed that it is often their public sector clients who refuse to allow contracts details to be published. They say they are happy to make available documents relating to negotiations.
The IPPR has been pushing the government to extend the tough transparency regulations that apply to NHS schemes – which require publication of contract details – across the public sector.
Hamish Henderson-Begg, head of PFI for contractor Babcock International, backed the IPPR's call. 'The desire for secrecy is often driven by the public sector, not the private. Provided that there are safeguards for some sensitive information, we are happy for almost all PFI information to be made public,' he said.
Gary Sturgess, executive director of the Serco Institute, said disclosure was needed to help overcome scepticism about PFI schemes. 'If the private sector is going to take an expanded role in the delivery of public services, then both public and private sectors need to be open about any deals being struck,' he said.
The IPPR says the refusal to hand over information is often justified on the grounds of 'commercial confidentiality'. But the think-tank blames the culture of secrecy on public sector bodies rather than their private sector partners, saying that it was often their 'default position'.
Researchers contacted public sector organisations to request documents on PFI projects. While nine out of ten NHS projects provided the information requested, just five out of ten local authorities did, and only four out of ten relating to school PFI projects.
Central government refused to meet a single request. IPPR researcher Tim Gosling said the results showed the need for the disclosure rules to be extended. 'In the NHS, where it is compulsory to make PFI documents public, they get published. Government should make the good practice that is evident in the NHS binding across the public sector.'
Chris Wilson, executive director of local government procurement body 4Ps, said: 'Local authority procurement should be managed on the assumption that all information will be in the public domain in the future. However, consultation or disclosure must not deflect an authority from carrying out its functions and obligations.'
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