Privately funded infrastructure in the UK: Participants' risk in the Sky Bridge project

Peter Moles, Geoffrey Williams

Research output: Contribution to journalArticlepeer-review


This paper examines the risk implications of the use of private funding for the Skye Bridge concessionary infrastructure project. The privatisation of infrastructure procurement in the UK arises as a result of the Government’s consultation paper ‘New roads by new means - bringing in private finance’ (Department of Transport (DOT), 1989) together with relaxation of the use of private finance, the so-called Ryrie rules. The analysis of the Skye Bridge project looks at the financing arrangements and the resultant risk and reward for the participants to the concession.The general conclusions are:1 private sector finance could be hard to mobilise to due to the perceived levels of risk and uncertainty;2 in the case of the Skye Bridge, allowing full inflation adjustment of the toll charge may provide considerable potential windfall gains to the concessionaire;3 only projects offering the highest return are likely to attract potential interest.
Original languageEnglish
Pages (from-to)129-134
JournalTransport Policy
Issue number2
Publication statusPublished - 15 Jun 1995


  • finance
  • privatisation
  • tolls
  • infrastructure
  • inflation


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