§ 18. Mr. Roger KingTo ask the Secretary of State for the Environment if he will make a statement on the savings to local authorities from competitive tendering.
§ Mr. KeyResearch into compulsory competitive tendering under the Local Government Act 1988 has shown average savings of 6 per cent. in the annual value of contracts for all services subject to competition. Average savings of between 10 and 15 per cent. of annual value have been achieved on services such as refuse collection and building cleaning. Standards of services have generally been maintained or improved.
§ Mr. KingI thank my hon. Friend for that encouraging reply, but does he share my concern that certain Labour authorities, such as the city of Birmingham, carry out the letter but not necessarily the spirit of the law on competitive tendering? What proposals has he to ensure that local authorities, particularly Labour councils, achieve the full benefits of competitive tendering for poll tax payers?
§ Mr. KeyWe are introducing our proposals in the other place. Contrary to some of the comments of Opposition Members, the Opposition amendment made in the other place this week makes no difference to our determination to encourage compulsory competitive tendering in the interests of the taxpayer.