“Carillion made £500m in revenue from selling off Private Finance Initiative (PFI) projects between 2003 and 2011, with many deals handing the construction firm returns of more than 15 per cent per year.
The most lucrative sale was of three NHS hospital buildings in Staffordshire, Swindon and Glasgow in 2007 which netted Carillion a 38.7 per cent annual return, according to analysis by the European Services Strategy Unit (ESSU). Around £200m of the sales came after 2010, the figures show.
Several of the purchasers are based offshore meaning they pay no UK corporation tax on the profits they derive from the schemes, which are ultimately paid for by taxpayers, the ESSU research found. …
… There are currently 735 operational PFI and PF2 deals, with a capital value of around £60bn. Annual charges for these deals amounted to £10.3bn in 2016-17, the NAO found. Even if no new deals are entered into, future charges which continue until the 2040s will amount to £199bn.
Earlier research by the ESSU found that nine offshore funds own between 50 per cent and 100 per cent of the equity in 335 PFI projects across the UK. The funds own 45 per cent of all current projects, ESSU said. …”