§ Mr. MaddenTo ask the Secretary of State for Health when agreements to rent office space to accommodate his senior staff at the Adelphi building in the Strand were approved and signed by him; what rental per square foot was agreed; and what option he has secured to rent further office space at Adelphi house.
§ Mr. Kenneth ClarkeThe Property Services Agency negotiated the acquisition of the Adelphi on behalf of the Department of Health and Social Security on a strictly commercial and therefore in confidence basis. The lease was signed by the Property Services Agency on 26 August 1988, after negotiations with the landlord over a number of months. There is an option to acquire additional space if required on the seventh floor of the building.
§ Mr. MaddenTo ask the Secretary of State for Health what is the estimated total cost of equipping and furnishing office space rented by his Department at Adelphi house; what information he has as to who is the freeholder of Adelphi house; from whom his Department has leased office space; who advised his Department in the negotiations which led to a lease agreement being signed to rent space at Adelphi house; and what commissions have been paid in connection with this lease being agreed.
§ Mr. Kenneth ClarkeThe requirements of staff due to move to the Adelphi building are being considered and I am not able to provide this costing information at present. The office space was leased from the then owner of Adelphi, Manufacturers Hanover. The building has since been sold on to Gefica Industries. Negotiations were conducted by the Property Services Agency on our behalf without specific charge to my Department.
§ Mr. MaddenTo ask the Secretary of State for Health how many staff were located at his Department's Elephant and Castle offices in each of the last five years; how many of these staff have been transferred to the Richmond building, to date; how many are to be transferred; how many are to be located at Adelphi house; when refurbishment of the Elephant and Castle building is to start; and what is the total estimated cost of this work.
§ Mr. Kenneth ClarkeIn each of the five years up to the end of 1987, about 2,100 staff were based at the Elephant and Castle. Of those, 340 have now moved to Richmond house, together with 140 from other headquarters buildings in London. A further 580 staff are expected to move from Alexander Fleming house to the Adelphi.
Final decisions about the refurbishment of Alexander Fleming house have yet to be taken by the owner who is also responsible for the costs. According to present plans, the work is likely to start in June 1989.
§ Mr. MaddenTo ask the Secretary of State for Health if the availability of office space was a factor in the decision to split the Department of Health and Social Security into two departments; and if he will review the cost effectiveness of the Department of Health renting office space in the Adelphi building.
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§ Mr. Kenneth ClarkeThe availability of office space was not a factor in the decision to split the Department of Health and Social Security into two Departments. The planned occupation of key ministerial support staff in the Ade1phi is an important improvement in my Department's efficient use of London HQ accommodation. At the moment we have some 4,700 staff in 12 buildings scattered across London. Our intention is that about 1,000 staff should be in or near to Whitehall (480 already in Richmond house and 580 to go to the Adelphi); at least 1,000 should be relocated out of London, with the remainder at the Elephant and Castle. This will allow my Deparment to vacate other central London buildings.
This will increase efficiency by concentrating staff in a few locations and improve cost effectiveness by having the minimum number of staff in a high rental area (in or near Whitehall) and the maximum number in the relatively cheap rental area at the Elephant and Castle or relocated away from London.