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Over three quarters of PFI contracts are profitable, finds KPMG/BSA survey.
Most Private Finance Initiative (PFI) contracts are making money and delivering profits. This is one of the key messages from a recent survey of 93 private sector contract managers undertaken by KPMG in co-operation with the Business Services Association (BSA) about the operational effectiveness of PFI contracts.
The annual survey represents a cross sample of almost 800 PFI projects active in the UK. Overall, strong performance of PFI contracts remains a key theme with the percentage of respondents reporting a 'very good' performance rising from 10 percent to 59 percent.
While there have been improvements since last year’s survey, a number of difficult issues remain around the effectiveness of PFI contracts. These include retaining members of the management team and developing more balanced responsibility across teams.
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