HC Deb 16 February 1960 vol 617 cc1122-4
32. Mr. Spriggs

asked the Minister of Works if he will undertake to adopt free and open competitive tendering for all his Department's contracts, and the widest possible use of the usual channels for the securing of maximum public advertisement.

Mr. H. Nicholls

It is my Department's policy to place contracts for construction work after competitive tendering, but my right hon. Friend does not consider that advertising for an unlimited number of tenders is a satisfactory system. The system of inviting tenders from a selected list of approved firms is the one recommended by several independent committees since 1944 and was commended only a few months ago in the Code of Procedure for Selective Tendering published by the Joint Committee of Architects, Quantity Surveyors and Builders.

Mr. Spriggs

Is the Parliamentary Secretary aware that if he does not give firms an opportunity to show what they can do his Department will never be in a position to know whether these firms are fit to do the work?

Mr. Nicholls

I can assure the hon. Member that any firm can get on to the Ministry's list of approved firms. If he has a firm in mind which he thinks ought to be on the list I shall be delighted to look into the matter.

Mrs. Castle

May I say that I am very sorry that the Minister has influenza? Will the Parliamentary Secretary remind him that this problem has arisen in connection with the provision of facilities in the Palace of Westminster? Is he aware that the Stokes Committee commented adversely on the fact that certain urgently needed improvements to the Library were not carried out because of the high level of Ministry of Works estimates and that the Committee recommended that this work could be put out for competitive tendering? Could the hon. Gentleman ask the Minister why this has not been done?

Mr. Nicholls

The hon. Lady has added to the point that I was making. One has to be certain that firms which are invited to tender are capable of doing the work. As far as this Royal Palace is concerned, one would invite only people who had the facilities, the ability and the knowledge necessary to get the work done. As I have said in reply to the main Question, it is possible for any firm which has the facilities and which can show that it can do the work to be put on the Ministry's list to be invited to tender.

Mr. Speaker

Mr. Spriggs.

Mr. Spriggs

With reference to—

Mr. Speaker

Order. I was calling the hon. Member to ask the next Question.

33. Mr. Spriggs

asked the Minister of Works how many firms or companies receive invitations to tender for Departmental contracts; and why his Department refuses tenders, or does not allow interested firms to tender, in view of the specialised knowledge of some firms which wish to tender.

Mr. H. Nicholls

Four to eight contractors are normally invited to tender for works contracts according to the size of the job, selected from the Department's list of approved firms. These arrangements are satisfactory to the industry generally.

Mr. Spriggs

Is not the Minister's policy perhaps in danger of creating a monopoly or a price ring of some kind?

Mr. Nicholls

I think that if there were any difficulty about any firm getting on the approved list there would be that danger to both the public—as I heard interjected from the Front Bench—and the building industry. Tendering is best covered by firms being asked to tender for work which it is known they are capable of doing.