§ Mr. Dobsonasked the Secretary of State for Social Services if he will make a statement on the fall in the percentage of contracting out of ancillary services in the National Health Service between 1978–79 and 1983–84.
§ Mr. Kenneth Clarke[pursuant to his reply, 26 November 1984, c. 388]: Throughout the period 1978–79 535W to 1983–84 the proportion of ancillary services contracted out was very small and changes during that period have no particular significance. As health authorities set about the programmes of competitive tendering, called for in our circular HC(83)18, we expect savings to be secured in the provision of ancillary services, and resources to be released for the development of patient care services. This is the objective of the policy. We also expect that authorities will make greater use of contractors as a result of tendering since they will be required to do so when a contractor is able to do the work to the standard required at a better price than the in-house service. These developments will take several years to work through and will not begin to show in the accounts until 1984–85.