Public sector finances are under strain, so that private sector investment needs to be brought in – whether that be to deliver new municipal buildings like hospitals and schools, new railways and roads or to invest to digitise the delivery of public services. But this is not just about money – the public sector needs to work hand in glove with industry to deliver expertise, innovation and human resource capacity.
Regulated utilities also face a paradigm shift. With an unprecedented scale of investment required to transform how the UK supplies itself with energy and to upgrade our aging water infrastructure, policy-makers are seeking to reintroduce competition into the delivery of new infrastructure, driving efficiency, innovation and value for customers.
Who we help
We work with public sector clients, regulated utilities, investors and private sector delivery organisations to structure and negotiate the deals that bring these parties together to create lasting and successful partnerships.
What we do
We have deep expertise across infrastructure delivery and breadth of understanding of the market dynamics, regulations and policy environment impacting different sectors. Critically our teams combine expertise in financial deal making, commercial structuring, commercial negotiations, legal, tax and accounting under one roof.
Finance
We support the development of commercial models that optimise different forms of public funding, private financing, and blended finance, suited to specific sector and regulatory environments. This includes supporting clients in structuring the arrangements for the public and private sectors to work together – whether this be through contractual arrangements, corporate joint ventures, public private partnerships (PPP) or complex and novel regulation.
Funding
We help our clients identify which projects are suitable for delivery through competition and/or private financing (project finance and corporate finance), and help develop strategies to bring them to market – including securing funding through the appropriate commercial structures, and help determine that the risk, control and return from commercial arrangements is properly managed both during construction and the ongoing operation of the assets.
Structuring
We bring together deal making commercial acumen with technical advice on regulation, accounting treatment and taxation, all wrapped in a solid understanding of the practical realities and market awareness of delivering major projects. We support the development of subsidiary vehicles, wholly owned subsidiaries, joint ventures, special purpose vehicles and outsourcing arrangements to drive value and ensure risks are managed appropriately. We are also experts in regulatory financing and the capital asset pricing model (CAPM). We bring a complete view and skillset to help create the financing solutions needed for today’s infrastructure.
Corporate Financial Management
We provide ongoing advice to major programmes and infrastructure assets in relation to the optimum corporate finance arrangements for any special purpose vehicle that includes long term financing strategy, credit rating advice, and analysis of risk in various financing arrangements.
Innovative funding instruments
We help devise pioneering funding mechanisms intricately tied to the realised benefits of infrastructure investments, fostering alignment between funding streams and project outcomes, thereby optimising financial sustainability and incentivising successful project delivery. This can include alignment of the financial and economic beneficiaries at different tiers of local, regional and national government with cash raising instruments from tax to levy charges to usage charges.
