2.10 The extensive involvement of the private sector in the procurement of the five schools is assumed to lead to indirect cost savings to the public sector from innovative approaches to say, better management of vandalism risk on other existing schools which are not part of the project. This benefit is computed to lead to total cost savings, in NPV terms, of £2 million using a nominal discount rate of 6.09%.(3.5% real; 2.5% GDP Deflator).