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Latest Security News

Mod Rules Out Current Pfi Option For Armoured Vehicles Training PDF Print E-mail
Latest Security News - Ministry Of Defence News
Wednesday, 15 June 2005
An alternative way forward to the current Private Finance Initiative (PFI) solution for the Armoured Vehicles Training Service (AVTS) is being sought, announced the Minister for Defence Procurement Lord Drayson today.
An alternative way forward to the current Private Finance Initiative (PFI) solution for the Armoured Vehicles Training Service (AVTS) is being sought, announced the Minister for Defence Procurement Lord Drayson today.

The decision was announced after a detailed assessment of the Landmark Training Ltd consortium's bid concluded that the PFI deal did not offer an acceptable value for money solution.

The MOD will now explore conventional procurement strategies to deliver the capability, although it does not rule out Public Private Partnership forming part of the overall future solution. The MOD confirmed that the quantity and quality of existing Armoured Vehicles training would be unaffected.

Although not continuing with this PFI, the MOD, supported by the PFU, will continue to use PFI where it can be shown to deliver better value for money as exemplified by the recent PFI deal with the Amey Lex Consortium to provide C vehicles for the Armed Forces.

Lord Drayson said:

"I realise that this will be disappointing for the bidders. However, robust decisions need to be taken and we will only proceed with such a long-term commitment of public money where we are confident of a successful, value for money outcome for our Armed Forces, and the taxpayer."

"Improvements to our Armoured Vehicles training will continue. This change in direction will allow us to examine other procurement options and take advantage of emerging technology and best practice as it develops in the commercial training areas."

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