§ Mr Spellerasked the Secretary of State for Trade and Industry if he has received any representations regarding the implications for British firms in the home market of the recent increase in commission charged by the Crown Suppliers; and if he will make a statement.
§ Sir George YoungI have been asked to reply.
The Crown Suppliers has received two approaches about the increase in commission rates. One from G F E Bartlett & Sons Ltd which manufactures catering equipment and one from the Catering Equipment Manufacturers Association. Total sales of all products subject to increase in commission rates were 20 per cent. higher in the first quarter of 1985–86 than in the corresponding quarter last year. The increases were to ensure that the contracts make a full economic return for the resources employed.