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Home » Taxpayers will foot bill for shortfall on PFI hospital upgrades | UK News
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Taxpayers will foot bill for shortfall on PFI hospital upgrades | UK News

By britishbulletin.com19 August 20262 Mins Read
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Tens of millions of pounds of taxpayers’ cash will be needed to bring the Royal Infirmary of Edinburgh (RIE) up to scratch when it transfers to public ownership next year, Scotland can reveal.

The RIE was built in 2002 using the Private Finance Initiative (PFI) model which saw operator Consort Healthcare receive around £1bn to build and then maintain the hospital over 25 years before handing it back to the NHS.

NHS Lothian and Consort were locked in a four-year dispute about maintenance standards at the RIE but have now reached a deal where Consort will set aside up to £86m for upgrades.

However, an NHS Lothian assessment said this sum is “anticipated to fall well short” of what is needed.

The hospital building has been subject to a number of safety enforcement notices from Scotland’s fire service and work to comply with the necessary upgrades is likely to top £90m alone, according to health board documents.

Other required improvements include new lighting, ventilation and electrical systems.

Some of the works are already under way while others will stretch beyond the date of the official handover to NHS Lothian.

Experts have questioned the value to the public purse from the handover deal with Consort, which they describe as “too little, too late”.

However, NHS Lothian has said it is the “best value option” and represents a significant investment that may not have been secured otherwise.

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