The senior debt funding area of PPP bids is constantly evolving. Therefore, PAs through their financial advisers and in communication with the Financial Partnerships Unit, must monitor market developments and areas that affect the robustness, deliverability and pricing of different senior debt funding solutions over the course of procurement. They must ensure consistent bidding and evaluation procedures are in place in respect of senior debt in PPPs.
The senior debt element of PPPs will continue to be assessed in the KSR and FBC process.
The evaluation process for the funding elements of PPPs should be agreed with financial advisers and the evaluation outputs should be factored into overall VfM assessment of bids. As a minimum the high level funding evaluation areas should be set out in the ITN.