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Deputy Sam Mézec - Chair Future Hospital Review Panel BY EMAIL
20thJuly 2023 Dear Deputy Mézec ,
Thank you for your letter dated 13th July 2023 regarding the New Healthcare Facilities Programme.
As Ministers have communicated with the Panel, it is our strongly held view that publishing full cost information about previous projects undermined the commercial position with contractors and was a factor in project failure. It is still one of our most important priorities to achieve best value for taxpayers’ money in delivering new healthcare facilities for Jersey but this cannot be achieved unless we protect the Island’s commercial position of the current programme.
As the explanation has already been provided to the Panel, there is no advantage in repeating the justification at length at this stage.
Programme-level information for the four-year planning horizon will be published in subsequent Government Plans, which is the normal process for major capital projects. This will be informed by the ongoing business planning process, as better cost certainty is achieved for each project and the wider programme. You will recall that the programme has just produced a Strategic Outline Case which will be under continuous review and will evolve as we gather more information and as the designs and plans progress.
However, as you note, this approach does not come without political challenges. In your letter, the Panel asks that Ministers reconsider the current approach with respect to publishing financial information. The high level of public interest in this vital project is acknowledged, and in view of this we will commit to keeping the approach under review. We are acutely conscious of the need to balance Ministers’ responsibility to provide the right level of financial information against potentially compromising the value achieved for Islanders.
It is imperative for certain financial details and information to remain confidential as it is likely to be critical to programme success. However, we are the mindful of the need for continued transparency, while maintaining the integrity of commercial sensitivity, and we can confirm that as the project progresses there will be further briefings for both Scrutiny and States Members, including on the financial position. We would be happy to liaise with the Panel on how best to structure this communication and ensure due confidentiality.
Yours sincerely,
Deputy Kristina Moore
Chief Minister k.moore2@gov.je | 01534 440400
Deputy Tom Binet
Minister for Infrastructure t.binet@gov.je | 01534 440628