Competitive Tendering (Hansard, 8 March 1988)

§ 13. Mr. Neil Hamilton
To ask the Secretary of State for Social Services what savings he expects from competitive tendering in 1988–89 and subsequent years.

§ 25. Mr. Sims
To ask the Secretary of State for Social Services what savings he expects from competitive tendering in 1988–89 and subsequent years.

§ Mr. Newton
Cumulative annual savings in respect of domestic, laundry and catering services will amount to some £105 million in the coming year. Further extension of the programme to other services is a matter for regional and district health authorities to determine in the light of local needs, priorities and resources.

§ 36. Mr. Gregory
To ask the Secretary of State for Social Services if he will make a further statement on the progress of the competitive tendering initiative.

§ 84. Mr. Riddick
To ask the Secretary of State for Social Services if he will make a further statement on the progress of the competitive tendering initiative.

§ Mrs. Currie
The most recent information held centrally is for the quarter ended 31 December 1987. By that date approaching 95 per cent. of domestic and laundry services had been put out to tender, and some 75 per cent. of catering services. Estimated annual savings generated from contracts awarded for the three services totalled £105 million: £79 million for domestic services, £18 million for catering services and £8 million for laundry services. £28 million has been generated from contracts won by outside contractors and £77 million from tenders secured by in-house organisations.

§ 41. Mr. McLoughlin
To ask the Secretary of State for Social Services how many districts have yet to let any contracts by competitive tendering.

Mr. John M. Taylor
To ask the Secretary of State for Social Services, how many districts have yet to let any contracts by competitive tendering.

§ Mrs. Currie
Only three district health authorities have yet to let a contract for at least one of the three services to which the competitive tendering initiative applies. Of these, two have now gone out to tender for domestic and laundry services and the third intends to put its domestic services out to tender shortly.

§ 42. Mr. Forth
To ask the Secretary of State for Social Services what is his policy towards the extension of competitive tendering to non-medical areas other than laundry, cleaning and catering.

§ Mrs. Currie
Competitive tendering has established its value as a management tool in the National Health Service. We encourage health authorities to look constructively at any possibility of securing greater cost-effectiveness in the provision of their NHS services. This can include going to tender for services other than domestic cleaning, catering and laundry, noting that competitive tendering for those services has already generated annual savings of over £100 million in England.