Commercial Case

The purpose of the commercial dimension of the business case is to demonstrate that the preferred option will result in a viable procurement and a well-structured Deal between the public sector and its service providers.

In the case of this specific project, there will be no procurement and the project will be implemented by a letter from the Sponsor Representative to ScotRail via ScotRail Holdings (SRH) and subsequent adjustment of overall subsidy levels depending on overall outturns (rather than being based on the impact of this project alone).

Under this existing system, risk is held by Scottish Government and key contractual arrangements are already in place. There are no personnel implications above what was needed for the pilot, there is no impact on Accountancy Treatment and a team is in place within Transport Scotland to implement the policy.

As such there is no need for a commercial case in this instance.