With the PFI, as with many other types of PPPs, value for money is achieved through the transfer of risk to the private sector, which is perceived to have an advantage in handling risk. The risks that can be transferred to the private sector can be divided into two groups, general risks that are common all types of public/private service projects and PFI specific risks that are PFI public services project specific. Examples of some of the general risks that can be identified and transferred are the subject of a Library Standard Note.54
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54 HOC Library, The PFI and the transfer of risk, December 2001, available on request.