§ Mr. Strangasked the Secretary of State for Employment what elements of the state employment service are being considered for privatisation.
§ Mr. Peter MorrisonThe Government have recently endorsed a strategy for the future development of the employment service designed to improve the efficiency and effectiveness of the service and reduce its cost to the taxpayer. While the strategy contains no specific proposals for privatisation of parts of the service, it is envisaged that, in certain circumstances, jobcentres might be sited on the premises of other organisations where it is convenient and cost effective to do so. The strategy also envisaged a reduced role for the public employment service in those sectors in which other recruitment channels are well able to meet the needs of employers and jobseekers, including the unemployed.
At the Government's request Professional and Executive Recruitment is now being run on a full cost recovery basis. We will be keeping the future of this service under review.