Written question asked by Nick Gibb (Conservative) on Monday, 6 July 1998, in the House of Commons. It was due for an answer on Thursday, 9 July 1998. It was answered by Baroness Quin (Labour) on Thursday, 9 July 1998 on behalf of the Home Office.

Home Office

Question: To ask the Secretary of State for the Home Department, how the PFI contract awarded to UK Detention Services to build and operate a new prison in Agecroft, Salford, will be accounted for in the Government's accounts.

Answer: Mr. Gibb: To ask the Secretary of State for the Home Department how the PFI contract awarded to UK Detention Services to build and operate a new prison in Agecroft, Salford, will be accounted for in the Government's accounts. [49666] Ms Quin: We have taken advice from Her Majesty's Treasury and the National Audit Office and we are satisfied that the underlying assets of the contract for the new prison to be built on the Agecroft site at Salford will be off balance sheet. This means that the capital expenditure incurred by the Prison Service as a result of the contract is amortised over the 25 year contract.

Secondary information

Type: Written question
Reference: 315 c588W; 49666
Session: 1997-98
Subjects: Contracts Accountancy Construction Prisons Private finance initiative Salford UK Detention Services HMP Forest Bank