Recommendations & Conclusions
4 items
11
Recommendation
39th Report - Government’s use of priva…
Not Addressed
Though government attempts to determine the success of a project through measures such as cost-benefit analysis, they do not routinely evaluate completed projects.19 The UK has used a variety of private financing models to deliver new infrastructure, including but not limited to: Contracts for Difference, which guarantee wholesale prices for …
Government response. The government's response describes its existing pre-project appraisal process using the Green Book to identify the preferred financing model, but does not commit to or address the recommendation for routinely evaluating completed projects post-implementation.
HM Treasury
12
Recommendation
39th Report - Government’s use of priva…
Not Addressed
The National Audit Office’s (NAO) report on evaluating government spending highlighted that much of government’s activity is either not evaluated robustly or not evaluated at all, despite the government’s commitment to evidence-based decision-making.22 In addition, there 17 C&AG’s Report, para 3.26-3.27 18 C&AG’s Report, para 3.27-3.29 19 C&AG’s Report, para …
Government response. The government's response describes its existing pre-project appraisal process using the Green Book to ensure value for money, but does not commit to or address the recommendation for robust post-project evaluation or comparative assessments of financing models.
HM Treasury
13
Conclusion
39th Report - Government’s use of priva…
Not Addressed
The Treasury told us that the proportion of major projects that have been evaluated has improved since the NAO’s evaluation report. After our evidence session, the Treasury wrote to us and stated that 68% of infrastructure and construction of major projects have a high-quality evaluation plan. Across all major projects, …
Government response. The government states the recommendation is implemented, but its response focuses on the Green Book appraisal process for selecting financing models, not directly addressing the committee's concern about the proportion of major projects lacking high-quality evaluation plans.
HM Treasury
15
Conclusion
39th Report - Government’s use of priva…
Not Addressed
The overall value and number of infrastructure projects delivered using private financing models is significant, for example, on the Regulated Asset Base model, a combined £9 billion was invested in Thames Tideway Tunnel and Heathrow Terminal 5.28 In addition, the government announced in June 2025 that it will invest £14.2 …
Government response. The government states the recommendation is implemented, but its response focuses on the Green Book appraisal process for selecting financing models, not addressing the lack of central monitoring or digitised contracts for non-PFI private finance projects.
HM Treasury