HC Deb 13 December 1989 vol 163 cc721-3W
75. Mr. Brazier

To ask the Secretary of State for the Environment whether he has any indication of the savings being achieved by local authorities as a result of the introduction of compulsory competitive tendering for certain services.

Mr. Heathcoat-Amory

No precise figures are available at present, but the evidence suggests that substantial savings can be achieved as a result of the new requirements for competition in local government services. This is true whether work is awarded to an outside contractor or is retained in-house. As I explained in my reply to my hon. Friend the Member for Romsey and Waterside (Mr. Colvin) on 1 December at column212 the results of a research project on the effects of compulsory competitive tendering should be available in the spring.

97. Mr. Patrick Thompson

To ask the Secretary of State for the Environment what powers he has to take action against local authorities which fail to let contracts under compulsory competitive tendering on an impartial basis.

Mr. Heathcoat-Amory

The Secretary of State has powers under the Local Government, Planning and Land Act 1980 and the Local Government Act 1988 to direct that an authority shall cease to have power to carry out certain types of work or that they may only carry out such work subject to specified conditions, if it appears to him that the authority have acted anti-competitively or breached any of the other requirements of the legislation.

Mr. Gould

To ask the Secretary of State for the Environment what are the minimum and maximum contract periods specified in the Department of the Environment's circular on compulsory competitive tendering; what are the periods prescribed by the Welsh Office for Wales; and what are the reasons for the differences between the two.

Mr. Patten

The Local Government Act 1988 (Defined Activities) (Specified Bodies) (England) Regulations 1988 specified minimum and maximum contract periods for the activities subject to compulsory competition under the Local Government Act 1988. They are as follows:

Tablel I
Specified periods for authorities with education functions
Activity Minimum period years Maximum period years
Collection of refuse 5 7
Cleaning of buildings 3 4
Other cleaning 4 6
Catering for purposes of schools and welfare 4 5
Other catering 4 6
Maintenance of ground 3 4
Repair and maintenance of vehicles 4 6

Table II
Specified periods for authorities without education functions
Activity Minimum period years Maximum period years
Collection of refuse 5 7
Cleaning of buildings 4 6
Other cleaning 4 6

Activity Minimum period years Maximum period years
Catering for purposes of schools and welfare 4 6
Other catering 4 6
Maintenance of ground 4 6
Repair and maintenance of vehicles 4 6

The Local Government Act 1988 (Defined Activities) (Specified Periods) (Wales) Regulations 1988, as amended by the Local Government Act 1988 (Defined Activities) (Specified Periods) (Wales) (Amendment) Regulations 1988, specified the following periods:

Table III
Specified periods for authorities with education functions
Activity Minimum period years Maximum period years
Refuse collection 5 7
Building cleaning 3 4
Other cleaning 3 5
Catering 3 5
Ground maintenance 3 4
Vehicle maintenance and repair 3 5

Table IV
Specified periods for authorities without education functions
Activity Minimum period years Maximum years period years
Refuse collection 5 7
Building cleaning 3 5
Other cleaning 3 5
Catering 3 5
Ground maintenance 3 5
Vehicle maintenance and repair 3 3

Differences in the specified contract periods reflect decisions made by my predecessor and my right hon. Friend the Secretary of State for Wales in the light of circumstances pertaining in England and Wales respectively.