§ 32. Mr. Gerald Howarthasked the Secretary of State for Social Services how many health authorities have put one or more services out to competitive tender; and if he will estimate the aggregate annual savings thereby achieved.
§ Mr. FowlerHealth authorities are continuing to make considerable progress in improving the cost effectiveness of their domestic cleaning, catering and laundry services. At 30 September 1986 virtually all health authorities had put some of these services out to tender resulting in savings of almost £73 million a year. This compares with savings of £29 million from the policy of competitive tendering only twelve months ago. Private contractors have been awarded a total of 173 contracts saving £24.6 million. In-house organisations have secured 773 tenders saving £48.1 million. The resources released are retained by health authorities and are now making a substantial contribution to the improvement of patient care services.