Key findings relating to the operational phase:

•  the operational performance of PFI prisons against contracts has been mixed;

•  most PFI prisons have had problems when they first opened, but with one exception, have improved;

•  amending PFI contracts to reflect changing priorities is difficult;

•  the private sector has brought benefits to the prison service;

•  competition has been important for improving management and conditions for prisoners; however, as bids have become increasingly competitive, there appears to be evidence that private contractors and successful in-house bid teams are struggling to meet standards of performance;

•  the use of PFI has introduced innovation, mainly in the recruitment and deployment of staff and in the use of new technology;

•  a key innovation has been in promoting a more constructive staff/prisoner relationship;

•  the level of financial deductions is not necessarily an accurate indicator of performance; and

•  prisoners in PFI prisons feel they are shown greater respect and treated better than in public prisons.