§ Mrs. ButlerTo ask the Minister for the Cabinet Office if she has concluded her review of the Government Car and Despatch Agency. [119096]
§ Mr. Ian McCartneyThe triennial review of the Government Car and Despatch Agency (GCDA), the start of which I announced on 27 October 1999, has now been completed. The Cabinet Office, assisted by Lorien consultants, has considered the Agency's performance since 1 April 1997, when it was launched, and the options for the future of its functions.
The principal aim of the GCDA, which comprises the Government Car Service (GCS) and the Inter Despatch Service (IDS), is to provide secure, reliable, value for money services to its customers. The evaluation of GCDA's performance over its first three years concluded that it has performed well. It has met 14 of 15 key performance targets (including all of its financial and efficiency and productivity targets) set and completed during the period. The evaluation concluded that it had succeeded in meeting its principal aims and objectives, and made a number of recommendations for structural improvements allowing it greater freedom to pursue its commercial objectives. I have placed copies of the executive summary of the evaluation report in the Libraries of the Houses.
221WThe review of the standard options (continued agency status, market testing and contracting out, privatisation, abolition) considered each business separately. It concluded that the high security requirements of customers and the unique nature of the services provided by GCS meant that it was not suitable for private sector involvement. It went on to propose a programme of modernisation aimed at improving the efficiency, effectiveness and economy of its services. The review recommended that the IDS should establish and develop, through a Public Private Partnership, a secure, flexible, value for money, nationwide service to complement its existing London and dedicated networks.
I have considered both reports and I have decided that GCDA should continue as an executive agency for a period of five years. It will implement the programme of reform recommended by this review which will build upon its success over the past three years, and enable the Agency to deliver the high quality, value for money services its customers require. A revision to the Framework Document will now be prepared and published.