Question to the Department for Environment, Food and Rural Affairs:

To ask Her Majesty's Government, further to the Written Answer by Lord Gardiner of Kimble on 15 May (HL7422), what were the details of the exhaustive tender and selection process used in 2006; whether the restructuring in 2012 involved the same parties; and if so, whether a bidding process was used.

The Forestry Commissioners decided in 2004 to initiate a public private partnership to enable the development of the in house Forest Holidays business. An invitation to submit outline proposals went to perspective bidders in 2004. Eight responses were received, four candidates were short listed and invited to submit a business plan for setting up and managing a joint venture company. These bids were evaluated in 2005, and a preferred bidder appointed by the end of 2005. The negotiations were concluded with the joint venture, Forest Holidays LLP being set up in May 2006.

The Forestry Commission held a minority interest in the business that was restructured and refinanced in 2012. This interest was retained and rolled over into the two new distinct businesses, Forest Holidays and Camping in the Forest.

Lloyds Development Capital invested in the Forest Holidays business and became the new majority owner, following a negotiation led by the partnership with the support of its professional advisers.