§ Mrs. Renée Shortasked the Secretary of State for Social Services whether the savings of £6 million attributed to 34 recently let commercial service contracts in the National Health Service takes into account additional costs attributable to redundancy payments and the compensation element of superannuation costs.
§ Mr. Kenneth ClarkeWe have advised health authorities to take into account the cost to them of redundancy and other severance payments in assessing the savings that can be made by using private contractors, and we would expect these payments to have been taken into account in the savings authorities have reported.