Professional and Executive Recruitment (Hansard, 27 January 1988)

§ Mr. Andrew F. Bennett
To ask the Secretary of State for Employment (1) how, for the purpose of its flotation, the valuation of Professional and Executive Recruitment will be taken, given the service/knowledge orientation of its work;
(2) what safeguards are proposed to ensure the autonomy of Professional and Executive Recruitment;
(3) what consultations have taken place with trades unions concerning the proposed privatisation of Professional and Executive Recruitment.

§ Mr. Cope
These issues do not yet arise. On 2 December my right hon. Friend the Secretary of State announced the appointment of Lloyds Merchant Bank Limited to advise early in the new year on the options for transferring Professional and Executive Recruitment out of the public sector. We are awaiting Lloyds' advice and recommendations before taking a decision.

§ Mr. Andrew F. Bennett
To ask the Secretary of State for Employment what was the income to Professional and Executive Recruitment in each year since 1979 from(a) social welfare subvention and (b) the Manpower Services Commission.

§ Mr. Cope
The information requested is as follows:

Social subvention¹ Manpower Services Commission² MSC/DE Grant³

£ £ £

1979–80 3,535,000 205,000 Nil

1980–81 4,914,000 131,000 Nil

1981–82 4,920,000 370,000 Nil

1982–83 4,591,000 618,000 Nil

1983–84 Nil 2,886,000 123,000

1984–85 Nil 2,179,000 170,000

1985–86 Nil 2,754,000 170,000

1986–87 Nil 3,514,000 271,000

¹ Until 31 March 1983, PER operated with the assistance of a subvention from public funds to cover the identifiable costs of PER's non-commercial activities. On 1 April 1983, this subvention was withdrawn. PER was given a new "break-even" objective requiring that operating costs are met in full from earned revenue.

² Net income from recruitment work for MSC programmes.

³ Grant from MSC/Department of Employment for non-commercial work.

	Social subvention¹	Manpower Services Commission²	MSC/DE Grant³
	£	£	£
1979–80	3,535,000	205,000	Nil
1980–81	4,914,000	131,000	Nil
1981–82	4,920,000	370,000	Nil
1982–83	4,591,000	618,000	Nil
1983–84	Nil	2,886,000	123,000
1984–85	Nil	2,179,000	170,000
1985–86	Nil	2,754,000	170,000
1986–87	Nil	3,514,000	271,000
¹ Until 31 March 1983, PER operated with the assistance of a subvention from public funds to cover the identifiable costs of PER's non-commercial activities. On 1 April 1983, this subvention was withdrawn. PER was given a new "break-even" objective requiring that operating costs are met in full from earned revenue.
² Net income from recruitment work for MSC programmes.
³ Grant from MSC/Department of Employment for non-commercial work.