COST OF PUBLIC PRIVATE PARTNERSHIP FOR THE LONDON UNDERGROUND

Early day motion 386, tabled 28 February 2001 by Tom Brake (Liberal Democrat). Signed by 18 members.

That this House notes with concern reports that the Government could be sued for up to ú130 million by the consortia bidding for PPP contracts if it changes or abandons the proposed Public Private Partnership for the London Underground; but notes with greater concern that the PPP itself could cost more than an extra ú2 billion to the public purse because of the higher cost of borrowing from private companies; condemns the Government for backing PPP before the details and potential flaws have been dealt with; and calls on the Government to accept the smaller, short-term political price admitting their mistake, instead of the more serious long-term financial consequences of pushing ahead with PPP to back Liberal Democrat proposals for a bond issue and abandon their flawed PPP plans.

Signatures by party: Liberal Democrat 18.