Mr. Jenkinsasked the Minister of Health whether any local authorities are now experiencing difficulties in obtaining firm tenders for the building of schools, hospitals, and other institutions; whether his Department has, in consequence, sanctioned any additional payments above the tender price in order to prevail upon contractors to undertake the risk of rising prices and an increase in wages; and will he state the number of such cases sanctioned to date, if any?
§ Sir K. WoodI am not aware of any substantial number of cases in which firm tenders have not been obtainable for these purposes. In eight cases where the contractor had tendered on condition that clauses were included in the contract providing for a variation of the tender price in the event of changes in wages or in the price of materials, I have agreed to 1131W a small increase in the tender price for a firm tender. In a few cases contracts have been accepted in which variation clauses limited to particular subject-matters were included.