HC Deb 25 July 1991 vol 195 cc750-1W
Mr. Dalyell

To ask the Secretary of State for the Environment what impact "Options for Change" will have on the PSA work undertaken for Defence Works Services for the Ministry of Defence in Germany and the United Kingdom.

Mr. Yeo

It is clear that there will be an overall reduction in MOD's requirement for works services as a result of "Options for Change". The consequences for individual locations, and individual suppliers of services such as PSA, have still to be worked out.

Mr. Dalyell

To ask the Secretary of State for the Environment what fee value of new business has been started by each of PSA's new business divisions since untying was introduced.

Mr. Yeo

Civil clients untied from PSA for major works from 1 April 1988. All MOD works services and civil minor works and maintenance were untied from 1 April 1990. Since untying PSAS businesses have been successful in winning work with total fee values as follows.

£ million
PSA Projects 90.9
Building Management 18.7
PSA International 19.0

The figures for building management and PSA International represent the fee value of work either won in competition or through negotiation. The figure for PSA projects represents the fee value of all new projects awarded since 1 April 1988 for civil and wider market clients and since 1 April 1990 for MOD by negotiation or competition.

Mr. Dalyell

To ask the Secretary of State for the Environment what is the projected cost of privatising PSA; and what return is anticipated from the sale of any or all of the business divisions.

Mr. Yeo

The projected cost of preparing PSA for privatisation including the costs of the sales process depends on the strategy adopted. They are commercially sensitive estimates.

Mr. Dalyell

To ask the Secretary of State for the Environment whether any Crown property will be included in the sale of the PSA businesses as part of the assets of the organisation.

Mr. Yeo

Whether any properties will be sold with parts of PSA will depend on the particular needs of the organisations after privatisation. At the time of the Property Services Agency and Crown Suppliers Bill 17 freehold Crown properties were identified as being potentially transferable with the PSA, if needed. The great majority of existing PSA accommodation is leasehold.

Mr. Dalyell

To ask the Secretary of State for the Environment if he will make a statement on the resignation of the PSA's chief executive.

Mr. Yeo

Mr. Geoffrey Chipperfield, the current chief executive, has not resigned. His predecessor was Mr. Patrick Brown, who transferred on 26 June to become Permanent Secretary of the Department of Transport.

Mr. Soley

To ask the Secretary of State for the Environment how much the Property Services Agency spent on hospitality in the financial years 1989–90 and 1990–91.

Sir George Young

PSA's expenditure on hospitality was as follows:

£
1989–90 27,107
1990–91 51,268

Mr. Soley

To ask the Secretary of State for the Environment how many, and at what cost, performance bonuses and merit payments were made to grade 5 and above civil servants in the Property Services Agency for 1989–90.

Mr. Yeo

Three bonus payments totalling £2,800 were made in 1989–90. Merit payments—performance range points—were also made to 16 staff at grade 5 level or above on the basis of their performance in that year. The annual cost of these payments amounted to £25,129 in 1990–91.

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