Contracting directly with sub-contractors for Changes

57.  The MOD should not deal directly with sub-contractors in respect of works or services involved in a Change. PUK's guidance summarises the reasons why:

  "the Authority will have to manage the interface between the new works and the existing PFI services[; and]

  The SPV may try to charge a high fee for providing services and dealing with latent defects arising from works provided from a third party outside their control."

In addition such action could dilute SPV liability under the Contract and it is clearly better for MOD for the SPV to remain primarily liable. Similar views to those above have been expressed by acquisition team members within the MOD.