Warning over infrastructure schemes

Press Association

Taxpayers face being exposed to "substantial losses" by coalition attempts to drive through major road, rail and energy schemes with minimal state funding, a public spending watchdog has warned.

The Government is offering guarantees on some infrastructure projects as a way of securing private investment - but that is leaving it open to increased risk of having to meet significant costs if anything goes wrong, according to the National Audit Office (NAO), which also urged ministers to be "realistic" about project risks, particularly the possibility of cost overruns.