Benchmarking

In 85% of cases the PFI contract includes requirements to undertake periodic benchmarking or market testing of services. In most cases the benchmarking or market testing process is explained clearly in the contract with the recommendation that it should happen between every three and seven years. So far though, only 13% (12 contracts) of the respondents have actually been through the process and the findings are not therefore sufficiently well based to either draw conclusions or influence policy. The limited evidence does suggest that it should be seen as an opportunity to make improvements to the contract. It is also becoming apparent that benchmarking can be as beneficial to the provider as to the public sector.