Balmoral High, a text book example of why PFI doesn’t pay

David Morrison writing for the Labour and Trade Union Review on the false economies of Private Finance Initiatives (PFI) highlights the case of Balmoral High as indicative of how costly these projects can be.

In addition to government borrowing on very poor terms, he details how the College, which has been open a mere six years, is to close leaving a bill of £9.2 million to be paid over the next 19 years.

While PFI is a British Tory concept fully promoted by Nu-Labour it has found enthusiastic supporters at Stormont with the executive unanimously endorsing plans to hand over the Civil Service Estate to PFI contractors. The plan is set to be rubber stamped by the Assembly today as part of the Robinson/DUP budget.