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€80m have to be given to VGH for return of two hospitals

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VGH has not managed to keep to the concession milestones in the agreement with the government.

The government has tied future administrations to pay €80 million in taxpayers’ money to Vitals Global Healthcare (VGH) to give back the title of the land and buildings of the Karin Grech and Gozo General hospitals, the Times of Malta can reveal. Also, despite stating that three public hospitals had been given to VGH for 30 years, parts of the concession agreements, kept secret by the government, show that in the case of St Luke’s Hospital, Vitals can keep it and all its grounds for a total of 99 years. Read: Government gave consent for VGH sale after agreement was signed This emerges from leaked details of the multimillion-euro deal signed between the government and VGH – an unknown company in the healthcare sector. The government had blacked out extracts of the deal when it was made available to Parliament. The Times of Malta is informed that while VGH are currently paying measly ground rent rates for the three hospitals – €309,000 a year for St Luke’s, €59,000 for Karin Grech and €157,000 for the Gozo General Hospital – the government has tied future administrations to paying €80 million if they decide to take back the title on Karin Grech and Gozo’s only general hospital at...

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