HC Deb 13 November 1974 vol 881 cc407-8
25. Mr. Robin F. Cook

asked the Secretary of State for the Environment when he expects to complete his review of the cost yardstick procedure.

Mr. Freeson

I cannot say when this review will be complete as there are many criticisms and points of view to take into account. Meanwhile the increase in the basic yardstick announced in September should assist cost planning and reduce the amount of work for local authorities and the Department in dealing with schemes.

Mr. Cook

Since the review is taking an inordinate time, will the Minister consider simply abolishing the whole system? Did he hear the statement by the Chancellor of the Exchequer yesterday which, among other items of policy, included promoting the house building programme and stabilising local authority staffs? Would not the removal of this pernicious cost system save time, accelerate the house building programme and get us out of a situation which depresses house building standards since inflation always takes over from a review of levels?

Mr. Freeson

I do not accept all my hon. Friend says, but I take the point that a number of people have urged abolition of the system. My view is that it is right to have some kind of cost discipline system in the provision of housing. Whether it should continue to take the form that it now does is a matter for consideration which will be taken into account in the study which we are undertaking. It is not taking an inordinate length of time since it was begun only in recent months.