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Value Capture: A Valid Means of Funding PPPs?
Author(s) -
Connolly Ciaran,
Wall Anthony
Publication year - 2016
Publication title -
financial accountability and management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.661
H-Index - 44
eISSN - 1468-0408
pISSN - 0267-4424
DOI - 10.1111/faam.12083
Subject(s) - private finance initiative , finance , value (mathematics) , value for money , business , accounting , public administration , actuarial science , economics , public economics , private sector , political science , economic growth , statistics , mathematics
This paper considers the use of value capture (VC) as a means of financing public‐private partnerships (PPPs) in the United Kingdom (UK). Although some VC techniques are used in the UK, they are employed more widely in the United States of America. After considering the traditional approach to financing UK PPPs, this paper describes the main VC finance instruments. The findings of a series of case studies are then presented and conclusions drawn. While VC financing may prove unpopular with those bearing the cost of infrastructure improvements, it is recommended that such instruments are considered by UK policy makers.