Overview of how the Darent Valley PFI hospital project has developed since the contract was let in 1997 by the Dartford & Gravesham NHS Trust (the Trust)
Service
New hospital delivered early.
Subsequent service delivery overall has been satisfactory.
Relationships with contractor
Now good after some initial settling in problems.
Price
Initially in line with the contract and reduced since 2003 following a refinancing.
Low level of payment deductions.
Dealing with change
New Trust management have been appointed and have achieved three star status for the Trust.
The project has been refinanced. The Trust has shared in 30% of the gains.
The contract period has been extended.
There is the possibility of increased termination liabilities.
An additional building programme is in progress, not all under the PFI contract.
In managing the risks arising from future change the Trust must make effective use of contractual mechanisms to maintain value for money.