HC Deb 13 April 1965 vol 710 cc181-3W
Sir D. Kaberry

asked the Secretary of State for Defence (1) how many air force staff and other canteens are established and run in his department's offices in London; what is the lowest price charged for a midday meal; what is the average price charged; whether those prices represent the economic cost of purchases, preparation, service and rentals; how much profit is made or how much loss sustained in a year; and how a loss is dealt with in the annual accounts or estimates of his Department;

(2) how many naval staff and other canteens are established and run in his Department's offices in London; what is the lowest price charged for a midday meal; what is the average price charged; whether those prices represent the economic cost of purchases, preparation, service and rentals; how much profit is made or how much loss sustained in a year; and how a loss is dealt with in the annual accounts or estimates of his Department;

(3) how many Army staff and other canteens are established and run in his Department's offices in London; what is the lowest price charged for a midday meal; what is the average price charged; whether those prices represent the economic cost of purchases, preparation, service and rentals; how much profit is made or how much loss is sustained in a year; and how a loss is dealt with in the annual accounts or estimates of his Department.

Mr. Mayhew

There are seven staff restaurants—or canteens—in my Department's offices in inner London. All except one are operated by management committees of users. The prices of meals are fixed by the committees, but the items are normally separately priced. The minimum price for which a two course meal is available is about 2s. and the average price is about 3s. 6d.

The prices are designed to cover cost of food, cost of labour and certain minor overheads. There is no payment for rent, rates, fixed equipment, light, heat and fuel; these are borne on the Ministry of Public Building and Works Vote. Cleaning is provided by the Department as a part of office cleaning or an equivalent cash subsidy in lieu. Trading is operated on a no profit, no loss basis. Audited accounts have to be submitted annually to the establishment officers and the Treasury catering adviser. If a staff restaurant committee through unforeseen circumstances incurs a loss, the Treasury catering adviser is required to investigate and give advice designed to ensure that measures are taken to stabilise the trading.

One canteen is directly managed. Prices similarly cover cost of food, cost of labour and overheads etc., as for canteens which are operated by a management committee, but all payments are in the appropriate expenditure Vote (Navy Vote 8), and all takings in Appropriations in Aid. Any profit or loss for this canteen is brought into one consolidated trading account which has a surplus to date and action on loss does not arise.

Sir D. Kaberry

asked the Secretary of State for Defence how many staff and other canteens are established and run at the Barnbow, Leeds, ordnance factory; what is the lowest price charged for a midday meal and the average price paid per meal; whether those prices represent the economic cost of purchases, preparation, service and rentals; how much profit or how much loss is sustained in a year; and how a loss is dealt with in the annual accounts or estimates of his Department.

Mr. Mulley

One. The lowest price charged and the average price paid are respectively ls. 2d. and 2s. for a one course meal, 1s. 7d. and 2s. 5d. for a two course meal, and 2s. ld. and 2s. 11d. for a three course meal. The prices charged arc designed to cover the cost of food, labour and certain minor overheads, but not of rent, rates, fixed equipment, light, heat and fuel, for which the canteen is not charged.

It is estimated that last year's account will show a small profit, but since prices are designed to achieve that the Department's canteens break even overall, a loss in this canteen would not call for specific action. All payments are included in the expenditure Votes and takings are included in Appropriations in Aid.

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