HC Deb 28 June 1966 vol 730 cc1580-1
44. Mr. Sharpies

asked the Minister of Housing and Local Government if he will publish a detailed breakdown of his estimate of the cost of construction of local authority houses by direct labour; and from what sources this information has been compiled.

Mr. Crossman

No detailed breakdown of these estimates of cost is available. The information is compiled from figures provided by local authorities.

Mr. Sharpies

How can the right hon. Gentleman justify the assertion which he made with regard to direct building costs, which he said was based on statistics, when he refuses to publish the figures? Can he say how, unless these statistics exist, his hon. Friend the Joint Parliamentary Secretary was able to give a figure down to the nearest halfpenny?

Mr. Crossman

The fact is that these are estimated figures, not actual costs. I think that they provide a good guide. We are getting further information to try to test this.

Mr. Rippon

Will the right hon. Gentleman say how, in the absence of these figures, he will fulfil the pledge which he gave to the National Federation of Building Trades Employers on television last night that private enterprise would be able to compete on equal terms with the direct labour departments of local authorities, and what steps will the right hon. Gentleman take to fulfil the pledge to see that there is a proper breakdown of the cost of direct labour?

Mr. Crossman

I am grateful to the right hon. and learned Gentleman. One of the first things that we are doing, as I explained last night on television, is to separate maintenance from direct labour new building. This is the first step to enable us to have the genuine cost of the new building, as distinct from the maintenance.

Mr. Freeson

Will my right hon. Friend consider further whether it is possible to remove some of the obstacles to allow local authority direct labour forces to compete fairly with private enterprise?

Mr. Crossman

I have considered this, and the major obstacle was the one that we have removed, the third tender provision. This has been knocked out, and I think that they can compete on equal terms.