As with most long term developments, costs can rise over time and an initial agreement between the local NHS care board and the REIT might need to change.
This can include the price of the raw materials needed to build the surgery, as well as the estimated future rent.
Since 2024, the NHS has been under strict guidelines to only continue with an agreement if it represents value for money.
So, if the costs get too high, as assessed by NHS England and the district valuer, the agreement cannot go ahead.
For Great Western Park, BOB ICB said: “After careful consideration, both the recent and previous reimbursement proposals have been assessed as not representing value for money and not meeting the requirements of the Premises Costs Directions 2024.
“As a result, the ICB cannot accept the proposals and will no longer be progressing with Assura as the development partner for the GP surgery project.”