State subsidies/guarantees: corporate welfare required

The PFI/PPP model, private finance and a procurement process that excludes a public sector option creates an illusion that the private sector is a wholly independent financier, builder and operator. In practice, PFI/PPP projects are a classic example of the neoliberal state-business partnership model that is dependent on corporate welfare. The 'price of partnership' requires governments to guarantee contract payments; establish PFI/PPP units; provide public subsidies to NHS Hospital Trusts when they cannot meet PFI repayments and/or meet the health needs of their local population; legislate for PFI/PPP contracts and widely promote the model whilst limiting public sector capital expenditure (Whitfield, 2016).