§ 2.40 p.m.
LORD WINDLESHAMMy Lords, I beg to ask the first Question which stands in my name on the Order Paper.
§ [The Question was as follows:
§ To ask Her Majesty's Government whether they will state the terms under which tenders are invited for new road works such as the Preston motorway.]
EARL BATHURSTMy Lords, on behalf of my noble friend Lord Gosford, who is abroad, I beg to answer the noble Lord's Question. Tenders are normally invited by public advertisement on conditions which require the completion of the works within a specified time. Tenderers are required to price a bill of quantities which lists the work and materials required and their approximate quantities. Payment is calculated by applying these rates to the measured work asit is completed. The contractor is under a liability to pay liquidated damages if he fails to complete the works within the contract period.
LORD WINDLESHAMMy Lords, I thank the noble Earl for his informative reply. I would ask him whether he can therefore refute categorically rumours which one hears from time to time, no doubt unfounded, that tenders have been accepted and individual contracts entered 142 into in which the cost was not that of the lowest tender submitted nor was the timethe quickest. Stories to that effect circulate and I should be gladif Her Majesty's Government could categorically refute such a suggestion.
EARL BATHURSTMy Lords, I have described the way in which tenders are normally put up for contract, but of course, for a variety of reasons, the lowest tender is not always accepted. Possibly it is because of that that the noble Lord has heard these rumours. If the noble Lord should be able to specify such a rumour and write down the details I am quite sure that my noble friend would do his best to look into it.
LORD WINDLESHAMMy Lords, I thank the noble Earl for his reply. I will certainly take up the matter.