HC Deb 27 February 1980 vol 979 cc1347-8
18. Mr. Michael Brown

asked the Secretary of State for the Environment what steps he is taking to reduce the level of staffing in the Property Services Agency.

Mr. Heseltine

Since 1 April 1979, the staff of the agency has been reduced by 7 per cent. As part of my review of the work of the Department, I intend to look at the functions of the agency with the object of establishing the scope for further reductions. Meantime, I am confining recruitment to the filling of the most essential vacancies.

Mr. Brown

In the light of that reply can my right hon. Friend indicate what aspects of the Property Services Agency's work might be contracted out to private enterprise?

Mr. Heseltine

Any area where I feel that the private sector could do the job more effectively.

Mr. Guy Barnett

Is the right hon. Gentleman aware that the work of the PSA is likely to increase in one respect and will therefore not allow for reductions in staff? Is he aware that I refer to the increasing number of unemployment benefit offices which will be required as a result of the Government's economic and industrial policy?

Mr. Heseltine

I am sure that the hon. Gentleman will have taken into account that when unemployment rose under the Government of whom he was a member the number of people who were employed in the PSA was reduced.

Mr. Stokes

Is my right hon Friend aware that the PSA is one of the most unpopular bodies associated with central Government? Is he further aware that there is grave disquiet about the excessive staff and that many of my hon. Friends feel that much of the work of the PSA could be better carried out by private enterprise?

Mr. Heseltine

I believe that there is scope for reducing the size of the PSA and that there is work within the PSA that could be better done by the private sector. However, I have to say that there would still remain a viable job for the PSA that could be done only by a public sector body. I shall do my best to ensure that what remains of the PSA is run as effectively as possible.

Mr. Freeson

Would the Secretary of State care to publish to the House comparative figures showing whether there has been a saving as a result of contracting out professional work already from the PSA to private consultants or whether those jobs are costing more?

Mr. Heseltine

I think that this would be an excellent subject for investigation by the Select Committee that monitors my Department.