No public land is being given to private individuals to build private hospitals. In July 2005, following Government approval, I issued a policy direction to the Health Service Executive to develop co-located private hospitals on the sites of public hospitals. The aim of this initiative is to transfer private activity from within the public hospital system to new privately-financed and managed facilities and thereby free up approximately 1,000 additional beds for public patients.
The land to develop co-located private hospitals will be leased on a commercial basis to successful bidders. There will be a rigorous value for money assessment of all proposals. Any transaction will be on a commercial basis and will fully protect the public interest. There will be full adherence to public procurement law and best practice.