Overseas PPP failure by the Department for International Development

The UK Department for International Development and Atkins plc -"one of the world's most respected design, engineering and project management consultancies" built a new £285m airport on the south Atlantic island of St Helena (a UK Overseas Territory), via a design, build and operate PPP contract. It was part of a plan to boost tourism, reduce economic decline and improve access to the island (NAO, 2016b).

However, tests flights in April 2016 revealed dangerous wind conditions on the airport approach ('wind shear'), which means that it cannot be used for commercial aircraft. The wind conditions were well known. The House of Commons Public Accounts Committee concluded that it "is staggering that the Department commissioned and completed the St Helena airport before ascertaining the effect of prevailing wind conditions on landing commercial aircraft safely at St Helena (HM PAC, 2016). By late 2016 there was no plan or cost for remedial work. The Department is committed to fund and subsidise the airport at a cost of £667m between 2011-2043 (NAO, 2016b).