BUSINESS COMMUNITY MUST TRUST IN SCOTLAND’S FUTURE
23rd June 2008
If Scotland’s business community does not embrace and promote the new Scottish Futures Trust, it will undermine the public infrastructure investment market, resulting in delay and cancellation of billions of pounds of much-needed new infrastructure, a leading public procurement specialist has warned.
The warning by Dr Alister Coutts, Head of Public Sector with property and construction consultants RLF, comes just over a month after the Scottish Government unveiled details of the new Scottish Futures Trust funding model.
The radical new model has been developed as an alternative to the much-maligned Private Finance Initiative and seeks to save up to £150m per year through more efficient borrowing processes. The proposed new model was criticised by political and other parties as being untried, untested and unworkable.
However, Dr Coutts, who was previously Director of Property and Architectural Services with Highland Council, says the new model has much to commend it and offers an innovative, long term solution for procuring high quality infrastructure that delivers value to the taxpayer.
He said: “A wide range of myths have sprung up around the new Scottish Futures Trust that has clouded understanding of how the model will work. It has also led to uncertainty as to the final shape of the model, and added to concerns that major projects, such as new schools, roads, and railways, could be considerably delayed. It is vital that the business community gets behind the new model and helps build confidence and activity.”
He added: “During the years of PFI, Scotland had accrued enormous expertise and experience in the procurement, financing and management of major projects. This expertise has since been allowed to wither on the vine and many of the professionals have either left Scotland, or are selling their expertise to overseas countries keen to use the PFI procurement model. Scotland now needs to rebuild that expertise, support the new model and engage with the key players throughout the Scottish Government and across the public sector.
The new Scottish Futures Trust is here to stay, and the business community has a key role to play, and a duty to make it as successful as PFI.”
Dr Coutts had been with the Highland Council for nine years where he served as the Director of Property & Architectural Services. He had successfully directed the Council’s two Education, Culture & Sport Service Public Private Partnership initiatives and had also been leading the Project Team negotiating with the private sector in respect of the re-provisioning of five Social Work Care Homes.
Under Dr Coutts’ leadership the Council’s PPP Project Team was awarded ‘Highly Commended’ at this year Public Private Finance Awards. The Highland Council was the only Scottish body to receive an award at the prestigious event.
Dr Coutts is an acknowledged expert in Asset Management Planning, Programme & Project Management, Construction Procurement, Public Private Partnerships and Property Joint Ventures, and he has spoken at 20 conferences in Europe and North America during the past three years.
Ends
Date: 23.6.08
More information:
Ian Spinney, 0141 338 6700 / 07973 671773