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Labour MPs Urge Reeves to Ditch Costly Private NHS Funding

11/21/2025

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Summary

Story summary

Forty Labour MPs urge Rachel Reeves, Labour shadow chancellor, to abandon NHS buildings funded by private finance initiatives.
They say private finance initiatives have historically driven higher costs and crippling debts.
80 NHS trusts are still repaying £44 billion.
Over 50 academics support funding via direct taxation or borrowing rather than private finance.
The government is pursuing limited public-private partnership models to learn from past mistakes.

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Story summary

Forty Labour MPs urge Rachel Reeves, Labour shadow chancellor, to abandon NHS buildings funded by private finance initiatives.
They say private finance initiatives have historically driven higher costs and crippling debts.
80 NHS trusts are still repaying £44 billion.
Over 50 academics support funding via direct taxation or borrowing rather than private finance.
The government is pursuing limited public-private partnership models to learn from past mistakes.