Value for Money and Affordability of the Reference Project

The Fire and Rescue Authority or Police Authority has completed a financial evaluation to establish the likely costs of the Reference Project.  A comparison of the costs of traditionally procuring the project, the Public Sector Comparator (PSC), with the PFI Reference Project has demonstrated that the chosen route clearly offers Best Value.  The costs of the Reference Project were estimated by the Fire and Rescue Authority or Police Authority using its own information, the results of a soft market sounding exercise with private sector suppliers, and have been compared with the anticipated costs of similar schemes in other Authorities.

[The NPV of the PFI Reference Project is £ • million]

[Insert other details as appropriate, such as details of the major cost categories, details of the affordability computation for the project etc.]

The Fire and Rescue Authority or Police Authority has also assessed the affordability of the PFI Reference Project [taking into account the additional revenue support that will be available to the Fire and Rescue Authority or Police Authority from the PFI Credit awarded to the fire and rescue service or police project].  This assessment has shown that the Reference Project is affordable to the Fire and Rescue Authority or Police Authority.