‘Orderly exit’ as Royal Liverpool PFI terminates

The Royal Liverpool hospital PFI contract has officially been terminated, a month after the decision was taken to end the scheme.

Royal Liverpool and Broadgreen University Hospitals NHS Trust announced in September that it would exercise its right to terminate the PFI deal, after contractor Carillion collapsed in January this year and no contractor could be found to take over the deal.

It is understood that all sides have worked hard to ensure an orderly transition out of the PFI contract, with efforts made to ensure that the project company remained solvent so that a managed exit of the deal could be achieved.

A source close to the scheme pointed to the work carried out by the trust and the private partners involved to ensure that an orderly transition out of the PFI deal could be achieved.

Contractor Laing O’Rourke is now taking on the project as a publicly funded scheme.

"Our priority now is for Laing O’Rourke to get construction work restarted as soon as possible,” said trust chief executive Aidan Kehoe.

“We hope to be able to continue working with the existing subcontractors, so that work can be completed quickly. We expect to see some work on site from November, with the new Royal expected to be completed in 2020."