§ Sir C. Osborneasked the Minister of Public Building and Works why has it been necessary to take one million extra square feet of office space for Government Departments in London since 224W October, 1964; in which parts of London they are mainly situated; what is their capital cost, and extra rent and rates; why is the work not done out of London; if he will take steps to halt this form of Government expenditure; and if he will make a statement.
§ Mr. PrenticeThe extra space is needed to meet staff expansion and moves, reorganisation of Departments, replacement of accommodation, and improvement of standards. Movements of staff include dispersal from central London, and more than half the extra space referred to in the Question is outside the central area.
Negotiations for nearly two-thirds of the space started before October, 1964. The capital cost of freehold premises was about £1.15 million. The extra cost in rent is about £1.65 million a year.
About 300,000 square feet is for local offices serving the area in which they are situated. The remaining 700,000 square feet is for Headquarters staff who must work in London, including 300,000 square feet for staff dispersed to the periphery.
The Government have made and are continuing to make a very considerable contribution to dispersal. Some 30,000 Headquarters staff (excluding the Post Office) are already accommodated outside London; a further 5,000 are due to be moved out over the next five years. A number of new organisations are to be set up outside London, including the Land Commission Headquarters and the Board of Trade Investment Grant Administration.