Green light to pay Jay Jayasundara another £70,000 for PFI savings

As revealed by OnTheWight back in March, Jay Jayasundara has already been back on the Isle of Wight since the beginning of the year examining the Highways PFI contract he was paid handsomely to create.

Green traffic light

An external consulting agency will be given £70,000 to explore cost-cutting measures within the Highways PFI contract.

The proposal was unanimously supported by members of the Isle of Wight Council’s ruling cabinet at a meeting tonight.

As revealed by OnTheWight back in March, Jay Jayasundara has been back on the Isle of Wight since the beginning of the year examining the Highways PFI contract he was paid to create back in 2012/13.

Architect of contract paid to find savings
Jay Jayasundara, of Jasmine Consulting, set up the contract with Island Roads in 2013. Cabinet members approved the decision to pay his firm, Jasmine Consulting, £70,000 to explore efficiencies within the contract, with a view to saving £2 million a year.

Cabinet member for transport, Cllr Ian Ward, said:

“We are foolish if we do not explore these options.”

Failings within the original contract highlighted
Opposition councillor, Cllr Julia Baker-Smith said:

“Is the cabinet member aware of various failings within the original contract, such as areas that were left off the project network? For example, in my ward road signs were left off the network, hedge-cutting in some areas and of course the difficulty in adding to the project network?

“This was a contract that was written by Mr Jayasundara.”

However, chief executive, CEO John Metcalfe, defended the decision:

“The national audit office report said that public authorities don’t have the expertise to deal with very complex PFI contracts and therefore need to look to that expertise from wherever they can get it. In many cases the teams that set up the contract.”


This article is from the BBC’s LDRS (Local Democracy Reporter Service) scheme, which OnTheWight is taking part in. Some additions by OnTheWight. Additions made by OnTheWight. Ed

Image: tasuki/ under CC BY 2.0

Any views or opinions presented in the comments below are solely those of the author and do not represent those of OnTheWight.

Leave your Reply

6 Comments on "Green light to pay Jay Jayasundara another £70,000 for PFI savings"

  Subscribe  
newest oldest most voted
Email updates?
garyeldridge
The employment of ‘Advisors or Consultants’, usually at very high rates of salary and pension ‘contributions’ (bungs, really), begs the question why are we tax payers, collectively, paying high salaries ‘to attract the right person for the job’, when clearly, the expertise in those jobs at the Council just does not exist? Most of the Consultants employed appear to be former Council Executives, who have clearly found… Read more »
Colin
Why not try a bit of honesty and say that this is such a poor contract, no-one can understand it. If it was so good in the first place (the tories certainly told us so) how come there is now scope for £2 million per year savings? Cllr. Ward should just have stopped after his quoted first three words. Mr. Metcalf is certainly correct that public authorities… Read more »
neilwheel
Interesting insight from the CEO ““The national audit office report said that public authorities don’t have the expertise to deal with very complex PFI contracts and therefore need to look to that expertise from wherever they can get it.” BUT he was responsible as ‘project manager’ for Floating Bridge 6 – perhaps he hadn’t read or internalised the advice from NAO back then. Oh well it’s OK… Read more »
richardshanklinite
I expect the efficiencies will be 1. Any roads that have been done already and have now got pot wholes leave them until a couple of months before the contract ends. 2. Leave pavement replacement longer the one in Florence Road, Shanklin was meant to be done last July. 3. Pay Banksy who has been at work at the Hope Road traffic lights to go around the… Read more »
confidential

Having been instrumental in the removal of the ill-fated Cowes Floating Bridge FB6 from the Highways PFI Scheme will he now recommend its reinstatement in the contract?

We shall see.

Billy

£70,000 equates to about £1.00 on every residential council taxpayers annual bill