HC Deb 13 July 1992 vol 211 c803
28. Mr. Sproat

To ask the Chancellor of the Duchy of Lancaster if he will issue a progress report on the moves to contract out and market test central Government services.

Mr. Waldegrave

Our discussions with Departments continue to make progress. As promised in the White Paper "Competing for Quality", I look forward to publishing later this year the targets set by Departments and agencies for testing new areas of activity in the market, to see whether alternative sources give better service and value for money for the customer and the taxpayer.

Mr. Sproat

As the objective of the policy is to improve the quality of public services by the Government buying them in through either the public or the private sector—whichever does it better—will my right hon. Friend make absolutely certain that all Government Departments set the most demanding targets to ensure real competitive benefits?

Mr. Waldegrave

My hon. Friend is right about the policy's objectives. I am glad to say that there appears to be increasing cross-party support for it. In an important speech, Jeremy Beecham—who is a distinguished Labour local authority leader, although he has made other criticisms of the Government—said that the purchase-supplier split has caused a re-examination of performance, with general beneficial results. He is right, which is why central Government will pursue the same policy that has been successfully pursued in local government.

Mr. Flynn

Will the Minister encourage his colleagues to apply the same criteria to spending by the royal family?

Mr. Waldegrave

I do not think that the hon. Gentleman expects a reply to that slightly frivolous question.