GREAT OPPORTUNITY FOR FINANCING MARKET TO ENTER SCHOOLS MARKET - JAMES STEWART
28/09/2004
The financing market has an opportunity to shape and improve the educational outcomes of the Government’s Building Schools for the Future programme by being at the centre of this key strategic investment programme, says James Stewart, Chief Executive, Partnerships UK.
Speaking at a PPP Financing conference in London, James Stewart, outlined how the market could make a major contribution to the programme and match the enormous commitment and resolve of the Government to upgrade our schools to a twenty first century standard.
James Stewart said:
“The programme is focused on the educational outcomes of investment in schools, but there are enormous opportunities in relation to the financial aspects of the programme. There is considerable leverage for maximizing innovation out of the programme which will give rise to better value for money and be delivered through strategic local investment programmes and long term partnerships between the public and private sectors.
“The formation of joint ventures will provide long-term, large scale opportunities across the programme for investment, design and build and maintenance within the LEP model”
Mr Stewart said that he was satisfied that there was sufficient capacity in the market, equity investments on the horizon and flexibility to manage the system. The programme provided the opportunity for investors to set up investments at a market efficient price in emerging capital markets that encouraged alternative sources of finance, he added.
PUK is playing a significant role in the development of the Government’s programme through establishing Partnerships for Schools as a joint venture with the Department for Education and Skills. Partnerships for Schools is a natural delivery vehicle for Building Schools for the Future and will:
• work with all the local authorities, across the programme, to develop their educational strategies, then bring their projects to market and complete the local deals;
• look to ensure efficient supply of equity and debt;
• act as a single point of contact for public and private sectors;
• create financial and efficient long-term investment in long-term local partnerships.
NOTES TO EDITORS
1. A Local Education Partnership (LEP) is a model contained within the Government’s Building Schools for the Future programme to renew or refurbish every secondary school in England and Wales over 15 years. It is a partnership between a local authority, Partnerships for Schools and a private sector partner. The role of the LEP is to support the local authority in relation to the long-term capital investment programme for the secondary schools estate by providing partnering services. Details of which are available from the PfS website, www.p4s.org.uk
2. James Stewart was speaking at a PPP Financing conference in London on 21 September.
3. Press enquiries to Malcolm Graves, Partnerships UK on 020 7270 5161. Public enquiries to www.partnershipsuk.org.uk or 020 7273 8383.
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