28. I want to start on figure1, page 2, and also figure 36, page 35, which are obviously connected. Mr Gershon, you said earlier that figure 36 on page 35 shows that there is no cause for complacency. Clearly there are a number of areas in a lot of contracts where the evaluation of how good the contract is in terms of value for money has suffered quite a lot even within the first year. That worries me. My first question therefore is, in those cases where the evaluation has fallen were the authorities concerned simply fooled by the contractor into thinking that they had got a better deal than they had?
(Mr Gershon) No, I do not think they were fooled. I think in some areas common understanding about what was really required by the contract and what each party had to deliver only became apparent after the award of the contract. That could have been a contributing factor.
29. So the authorities got it wrong, did not set up the contracts properly and as a result suffered?
(Mr Gershon) Partnering is a bit like marriage. You enter into it with the view of having a long term relationship and sometimes, regretfully, you discover after the marriage ceremony that the person you thought you had married does not quite turn out to be as you had expected. They have bad habits that only come to light after the wedding ceremony.
Chairman: Or vice versa.