The government has suspended links between the NHS and private public partnerships in order to push through a "one-off" sale of land from some 100 NHS sites in order to build up to 15,000 new homes across England.
The announcement comes from the Office of the Deputy Prime Minister, which is pushing a £22bn long-term investment plan to generate “sustainable communities”.
Cash from the land sales will go into NHS coffers, while at least 5,000 of the planned new homes will be designated for “key workers”, deputy prime minister John Prescott says.
No valuation of the deal has been published because the land has not yet been valued for market purposes, the ODPM adds.
Suspending PPP in the health sector will likely raise alarm bells, however, as the government has so far steadfastly maintained it is best way to deliver in particular improved infrastructure linked to public services.
Many new hospitals, schools and transportation links, including London Underground have been committed to PPP since Labour came to power in 1997.IFAonline
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