Why Public-Private Partnerships don’t work – The many advantages of the public alternative

by David Hall, Public Services International Research Unit (PSIRU) at the University of Greenwich, February 2015

56 pp. 560 kB:
http://www.world-
psi.org/sites/default/files/documents/research/rapport_eng_56pages_a4_lr.pdf
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This report assesses the PPP experience in both industrialised and developing countries. The many case studies analysed, from United Kingdom to Chile, shows that PPPs have failed to live up to their promise. In most cases, they are an expensive and inefficient way of financing infrastructure and services, since they conceal public borrowing, while providing long-term state guarantees for profits to private companies. The author proposes a public alternative to this system, in which national and local governments can continue to develop infrastructure by using public finance for investment, and public sector organisations to deliver the service.

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