Milestone in mental health services

The 312-bed hospital, with a floor area of 26,700 m2, will feature light and airy buildings, with plenty of gardens and outdoor areas, giving patients shared activity spaces similar to those they would find in the community. All living accommodation will be at ground level, “contributing to the hospital’s domestic scale”.

John Laing will invest equity in the project, which will be built by Laing O’Rourke and maintained by John Laing Integrated Services over a 30-year concession. HBOS will provide £81 m of senior debt, having won a funding competition managed by John Laing and PwC with public sector oversight which Laing says will “form the model for similar competitions in PFI hospital procurement in future”.

Con Egan, chief executive of the Tees, Esk & Wear Valleys NHS Trust, said: “This represents an important milestone in improving mental health services across Teesside and we are delighted to have reached financial close in record time.”