HC Deb 15 November 1991 vol 198 c689W
Mr. Robert Banks

To ask the Secretary of State for the Environment what action he proposes to take against those local authorities whose direct labour organisations made significant financial losses in 1989–90.

Mr. Key

Statutory notices under the Local Government Planning and Land Act 1980 and the Local Government Act 1988 were served on 26 local authorities between July and October this year in respect of financial failure in 1989–90. The Secretary of State has now considered the responses of the 11 authorities on whom notices were served at the beginning of July. He has today given directions under section 19B and section 14 of the 1980 and 1988 Acts respectively to Barrow-in-Furness borough council in respect of major new construction, Harrogate borough council (refuse collection, building maintenace, and highways work), Shepway district council (building maintenance), and the London borough of Tower Hamlets (highways work).

He has decided to take no further action in respect of financial failure in 1989–90 against Epsom and Ewell borough council (vehicle maintenance), the London borough of Redbridge (building cleaning), West Devon borough council (refuse collection), North Tyneside metropolitan borough council. (vehicle maintenance), Shepway district council (highways work), the London borough of Camden (minor new works), and Salford city council (in respect of anti-competitive behaviour).

He is still considering the responses of the London borough of Camden, Copeland borough council and Salford city council, all in respect of building maintenance work, and expects to announce his decisions shortly. He is also considering responses from a further nine authorities on whom notices were served on 30 July.