Part 1: The Prison Service achieved its objective for this refinancing
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The Service sought compensation for its risk of increased termination liabilities
The Service sought compensation for its risk of increased termination liabilities
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Advisers estimated the cost of additional termination liabilities
The Prison Service accepted £1 million having rejected lower offers
The compensation was consistent with the Service's estimate of the extra financial risk it was bearing
The Prison Service decided to take the £1 million as an immediate payment
The Prison Service also negotiated amendments to the PFI contract at the same time as the refinancing