Navigating PFI Handback: Key Strategies for Successful Contract Completion

The shape of contractual relationships in PFI are changing as many contracts enter the advised 7-year handback window and new teams come in to manage the handback, and personnel are reassigned to meet demand. As the industry completes more handbacks, the aim is to create a central space for data sharing that will provide solutions and best practice models, as well as best practice recommendations for contract completion.

PFI is a people orientated business. PFI experts have entered the sector from a range of industries, knowing that these would be long-term, stable positions which would allow them to work with thousands of different people from different backgrounds, both professionally and personally. As ex-Director at Apleona, Brian Jenkinson notes, “a huge amount of the role in PFI is people oriented. It’s massively about relationships. It’s an utterly different world to be managing something where you’re locked together for 25 or 30 years.”

Skills shortages in facilities management are still causing headaches for hiring managers who continue to have some long term vacancies on the books. This has led to hiring managers considering different approaches to filling roles; including drilling down on which skills are absolutely essential, looking at candidates from other parts of FM or alternate sectors, offering significant training and development packages, and evaluate candidates based their soft skills where appropriate.

In 2022, the UK Government released new guidance on effectively handling PFI (Private Finance Initiatives) contract expiry. The document is intended to provide practical steps to public sector bodies to support the transition of assets. PFI contracts “deliver a wide range of vital public services and with many of these due to expire within the next 10 years, the government is committed to supporting a successful end of contract process” through the release of the new guidance, says Matthew Vickerstaff, Director of Finance at the Infrastructure and Projects Authority (IPA).

Gender diversity is key to business success. Post pandemic, gender equity seems to be in danger of becoming less of a priority for many businesses as they establish “what matters most when everything matters”. In 2019, 18% of senior vice president roles and 19% of vice president roles were filled by women. 4 years later, this has dropped to 14% and 16% respectively. Senior women are leaving high positions at an accelerating rate.

National Careers Week focuses on bringing young people into the world of work. It aims to provide children, teens, and young adults in education visibility of a large range of roles across all sectors. The Facilities Management sector has invested time and resource into showcasing the sector for this age group and is working to increase the talent pool of young people to help encourage the next generation of professionals into FM.

Demand for skilled FM professionals is only increasing in the first quarter of 2023. Many companies have unfilled vacancies and finding the best talent to fill crucial roles is a constant challenge. There has also long been a skills crisis in the sector, which, as has been much discussed, has been compounded by experienced professionals leaving the sector over the last 7 years due to Brexit, the pandemic and retirement.

How Businesses can Reduce Barriers to Re-Entry to the Workforce for Over 50s or How to Reverse The Great Retirement

In the last 2 years, around 700,000 workers aged 50+ have left the jobs market. This is of particular significance to the FM sector as it has an aging workforce which has suffered from a loss of labour over the past 2 years due to Brexit, the pandemic, early retirement, and other factors. This means we have lost some of the expertise needed to productively bring the next generation of FM professionals into the sector. More experienced professionals are a boon to any sector as they can take on a mentoring role for young people who will do their work in the future.