Value for Money (VfM)

Broadly speaking, to obtain or receive Value for Money means that the money spent is worthy, that is, the value of the product or service received equals or exceeds the amount spent. The decision to spend (or invest in this context) is a wise decision as it is creating net value for the payer.
The concept of “Value for Money” is often used in any investment decision to be taken by the government to mean that the investment is creating net value to the society (or to the tax payer), and it is tested by cost-benefit techniques (especially Cost-Benefit Analysis, CBA). However, in the context of PPPs, Value for Money is used in a more specific sense – see Value for Money (in the PPP context) below.