HC Deb 19 January 1989 vol 145 cc271-2W
Mr. Cox

To ask the Secretary of State for the Home Department what is(a) the original agreed contract price and (b) the current contract price for each of the new prisons under construction.

Mr. Douglas Hogg

Construction contracts ar awarded on the basis of an accepted tender price excludin variations of price (VOP). The contract value (which is th current contract price) is adjusted during the course of th:ontract to take account of VOP. VOP is calculated fro the NEDO (National Economic Developmen Organisation) formula which is a nationally recognise formula for the calculation of cost increases for project under construction. In the case of two of the five prison listed, adjustments have also been made to take account o the application of VAT to building contracts since Jun 1988.

Contract Original agreed main contract price—tender price (excluding VOP and VAT) £ millions Current contract value (including VOP incurred to date and VAT) £ millions
Brinsford Prison (awarded June 1987) 23.12 25.18
Bullingdon Prison (awarded June 1988) 33.10 38.00
Lindholme II Prison (awarded September 1988) 31.23 40.98
Milton Keynes Prison (awarded December 1988) 57.17 71.96
Whitemoor Prison (awarded February 1988) 28.85 31.27

There are two other new prisons currently under construction. Advance works are taking place at Lancaste Farms young offender institution, where the main contrac has not yet been awarded. At Woolwich prison work i proceeding on the basis of a construction management contract. This involves a number of indivdual contract packages for the completion of the project instead of single lump sum contract. It is not possible to provide comparable estimated cost figures as all the individual contract packages have not yet been let.

Mr. Cox

To ask the Secretary of State for the Hom Department what is the number of complaints made b boards of visitors as to the standard of workmanship an delays in completion of all major modernisatio programmes of prison building work; and if he will make a statement.

Mr. Douglas Hogg

Since 1 January 1988 letters have been received from three boards of visitors about delays in the completion of major modernisation programmes at existing prison establishments. It is our objective to proceed as fast as is practicable with the programmes already under way and with those planned.