§ Mr. PaiceTo ask the Secretary of State for Social Security how much he estimates has been saved by compulsory competitive tendering in areas for which his Department has responsibility in each of the last five years.
§ Mrs. Gillian ShephardNo separate records are kept of savings resulting from competitive tendering. In the financial year 1989–90 total purchasing savings (for the Departments of Health and Social Security combined) amounted to £79 million (9.7 per cent. of spend). This figure includes on-going savings from years prior to 1989–90. New savings in 1989–90 amounted to £30 million (3.7 per cent). These were achieved through a variety of methods including competitive tendering, post tender negotiation and changing suppliers.