Cost Type

Conventional Procurement Option Costs

Conventional Procurement Option Rationale

PFI Option Costs

PFI Option Rationale

Capital
Expenditure

£{65.25}m

This is lower under the Conventional Procurement Option as less risk is being transferred. The input value is based on an assumed cost of £1,450 per m2, 9 m2 per pupil, 1,000 pupils. Capital Expenditure is incurred in equal amounts during the first two years of the Concession Period.

{71.775}m

This is higher under the PFI Option as more risk is being transferred. The input value is based on an assumed cost of £1,512 per m2, 9 m2 per pupil, 1,000 pupils. Capital Expenditure is incurred in equal amounts during the first two years of the Concession Period.

Lifecycle Costs

£{6.535}m introduced at 10 year intervals}

This is higher under the Conventional Procurement Option. There is limited planned maintenance, with periodic and costly "major maintenance" required to remove the maintenance backlog.

£{1.076}m per annum

This amount corresponds to 1.5% of the initial Capital Expenditure required.

OpEx (non-employmen)

£{1.075}m per annum

Input values for annual non-wage Facilities Management Costs are £35 per m2, 9 m2 per pupil for 1,000 pupils.

£{1.183}m m per annum

Annual non-employment OpEx is £35 per m2, 9 m2 per pupil for 1,000 pupils plus a 10% price premium for acceptance of performance risk.

OpEx (employment)

Average cost of £{20}k per employee

£{20}k per employee

& {25 }employees

& {25} employees