§ Mr. Tebbitasked the Secretary of State for the Environment, pursuant to his answer on 9th March to the hon. Member for Chingford, confirming the existence of a black list of firms banned from tendering to Government on the grounds of breaches of phases 1 and 2 of the Government's incomes policy, why that list was not circulated to local authorities under the provisions of paragraph 15 of circular 123/73 and paragraph 2 of circular 103/76.
§ Mr. ShoreThe first firm in breach of the pay policy was notified to the Department in October 1976, but as the firm agreed shortly afterwards to correct the breach it was unnecessary to notify local authorities.
30WThe names of three further firms were notified to the Department in June 1977 shortly before the White Paper—Cmnd. 6882—was published. This involved our considering what new guidance needed to be given to local authorities on the transition to Phase 3. Also by then the Government were reviewing the policy with regard to its own contracts and I decided that no action to circulate to local authorities the names of any firms in breach should be taken until the outcome was known. As the hon. Member is aware, I am still considering what guidance to local authorities might be appropriate in this phase of pay policy.