The D&T report says:
Neither the 30-year nor the seven and a half-year [value for money test] provides a satisfactory basis for establishing value for money (VFM).
- There is no evidence to suggest that there is a valid basis for establishing whether PPP will achieve VFM.
- The selecting of 30-year contracts are flawed because bidders were not required to submit prices for the whole period, but only for the first seven and a half years.
- The draft Public Sector Comparator shows the seven and half-year bids to be more expensive than the public sector alternative.
Highly material adjustments to the PSC are judgmental, volatile or statistically simplistic.
- Adjustments made to Base Costs add £2.5bn to the PSC.
- Concerns raised about the statistical analysis employed in the financial evaluation of the bids. D&T considers the analysis to be too simplistic and arbitrary.
Selection of preferred bidders has occured too early in the process and could have a materially adverse impact on VFM.
- Appointment of bidders should be delayed until negotiations on conditionality are complete.
Financial advantages of selecting [one of the] preferred bidder[s] depends upon judgmental adjustments.
- Assumptions for selecting preferred bidders are highly subjective.
Public sector bond financing has been largely dismissed.
- Bond financing as a basis for PSC has been largely dismissed despite an efficiency gain of £900m.
If businesses do not take cyber security seriously in their business planning regulators may do it for them, the ICAEW has warned
The Financial Reporting Council has issued guidance regarding the annual reporting of 1,200 large and smaller listed companies. The letter highlighted the key issues and improvements that can be made in the 2016 reporting season
Deloitte's north-west Europe foray; BDO, Smith & Williamson investment paths; Shelley Stock Hutter; and Wilkins Kennedy discussed by editor Kevin Reed on our Friday Afternoon Live broadcast
Company bosses are considering relocating operations or headquarters away from the UK following the country's decision to leave the European Union