2.2.  Operational PPP projects in Scotland

Figure 1: Number of operational PPP projects by sector

Source: Scottish Executive, Financial Partnerships Unit

Around half of all PPP projects are in the health sector. The majority of the health projects have relatively small capital value and relate, for example, to providing information systems, waste management services or elderly care beds. Seventy three percent of the capital spend in health relates to the three new hospitals at Hairmyers, Wishaw and Edinburgh. (Figure 2 below shows capital spend by sector.)

In the schools sector, although there are only eleven projects, the majority of the contracts are for the provision of a portfolio of primary, secondary and special schools; some eighty schools have been built or refurbished and are now being operated under PPP contracts.

Water and sewerage is the largest sector by capital value, accounting for one third of the capital invested in operational PPP projects.

Of the three transport projects, the Skye Bridge contract has recently been terminated by the public sector buying out the private sector contractor, and the same is set to happen for the Inverness Airport project, which will leave the M6 (M74) as the sole operational transport PPP.

Other projects include Kilmarnock Prison, the Police Force Training Centre at East Kilbride, a council accommodation project and several IT systems.

Figure 2: Capital value of operational PPP projects by sector

Source: Scottish Executive, Financial Partnerships Unit