Plans for a £800m PFI "health campus" at Paddington, west London, are expected to suffer further delays because of recommendations in a government review of the project
Building understands that the study, the publication of which has itself been delayed, will propose that another outline business case is put forward for the scheme by the end of October. If this proves to be the case, it will end any hope of it going out to the PFI market this summer.

The first outline business case for the project was put forward by the NHS trusts proposing the scheme, the Royal Brompton & Harefield and St Mary's, in November 2000. A source said: "It's like snakes and ladders. The health trusts are now back to the start again."

The review, undertaken by the Department of Health, the Treasury and the National Audit Office, is also likely to recommend that the NHS trusts consider a land swap deal with neighbouring landlord Chelsfield. This could involve using land planned for buildings in the Paddington Basin regeneration scheme, including the Richard Rogers-designed Grand Union office block, for the campus. In return, Chelsfield would be given land owned by the St Mary's NHS trust.

A formal statement on the future of the scheme is expected to be released by the North West London Strategic Health Authority this month.

It’s like snakes and ladders. The health trusts are now back to the start again

Source at the Paddington Health Campus