When to rule PFI out

9.  PFI must not be used:

•  for Information Technology based projects,

•  where the capital investment is small (i.e. less than £20 million) and the benefits of PFI do not justify the significant costs of procurement,

•  where the pre-conditions of equity and accountability in public service delivery cannot be met i.e. where it is not appropriate to attempt to transfer the end-service delivery risk to the private sector, as in most forms of frontline service delivery, or

•  where a significant degree of short-term flexibility due to uncertain or fast-changing service requirements is required.