HC Deb 14 November 1967 vol 754 c195
6. Mr. Moonman

asked the Minister of Technology whether the new cost-control system on contracts, in use on Concord, will be extended to cover all future contracts.

Mr. Benn

My Department encourages all its aero-space contractors to use the latest methods of cost control. The detailed system adopted depends on the type of project and the contractor's normal accounting arrangements.

Mr. Moonman

In view of the American experience, is my right hon. Friend aware that it would be good management practice to extend this technique to the whole range of Government contracts so that error or abuse may be modified or reduced?

Mr. Benn

I entirely agree that efficient management and the latest techniques are an essential part of cost control. As the House will know, a Ministry of Aviation and Ministry of Defence Report on the question of cost control was issued a year ago. Discussions with the S.B.A.C. took place upon it and the Elstub Committee is now sitting and will consider this sort of matter.