Q91 Mr Bacon: On page 17 it says that professional fees amounting to £9.1 million are payable. Is that little schedule there all the professional fees which will be incurred by the Home Office for this project?
Mr Gieve: Yes; I believe so.13
Q92 Mr Bacon: What are the fees to be paid by AGP? The Home Office is paying £9.1 million and I am asking what fees you are paying.
Mr Racine: Are you asking us how much it cost us to prepare the bid?
Q93 Mr Bacon: The Home Office incurred costs for professional fees and they are listed in this schedule here. When I asked the Treasury this question, they said that their costs amounted to £3.2 million and that the costs of Exchequer Partnership, which is the contractor for that building, were £22 million. On the same basis I am guessing roughly that the Treasury building's fees were 12.7% of the total fees, so the professional fees you are paying would be in the region of £62 million.
Mr Racine: No.
Q94 Mr Bacon: I am asking you what they are. I am guessing.
Mr Racine: In the region of £9 to £10 million.
Q95 Mr Bacon: In total? Is that for everything?
Mr Racine: Yes.
Q96 Mr Bacon: Is that including all the consultants, advisers, insurance, quantity surveyors, architects, accountants, legal advice?
Mr Racine: It is the external costs for our consultants, but it does not take into account our own internal costs for the bid, all the people from the company working on the bid.
Q97 Mr Bacon: Does it include the cost of the bond finance?
Mr Racine: No.
Q98 Mr Bacon: So the £9 million you have just referred to does not include the bond finance. The reason why I am asking for a total figure is that I want to know what the total figure is, not a partial figure. To give you an example, because what I am really looking for is the analogous figure, the Treasury's costs were a total of £3.2 million and the other costs, including bank finance when that company raised its money for the Treasury building, total costs, for everything, including the cost of raising the finance on the bond market, including the quantity surveyors and everything else, was £22 million. You are telling me that your costs are £9 million, but you have now told me that excludes the cost of the bond finance. What I am after is the analogous figure, the total for your professional fees payable to everybody, be they bank, insurance broker, engineer. Do I make myself clear?
Mr Racine: Okay. Including insurance it would add up to roughly £25 million.
Q99 Mr Bacon: In total £25 million.
Mr Racine: It includes the cost of finance and insurance.
Q100 Mr Bacon: Would it be possible for you to send us a schedule with an itemisation?
Mr Racine: Yes.14