§ Mr. BurnsTo ask the Secretary of State for the Environment what action he took against those local authorities whose direct labour or services organisations made significant financial losses in 1991–92.
§ Mr. BaldryI am very encouraged that, for more than 80 per cent. of the notices served in respect of 1991–92 DSO losses, further statutory action was not needed because authorities had already taken steps to address the losses. This is a very positive trend and I urge authorities to maintain their efforts here.
My right hon. Friend has now considered the responses of 15 authorities on which notices were served in June and September. He has today given directions under section 19B of the 1980 Act to Manchester city council, new construction work in excess of £50,000; and under section 14 of the 1988 Act to Bedfordshire county council, ground maintenance; Castlepoint borough council, ground maintenance; the London borough of Hillingdon, other catering; and South Bedfordshire district council, refuse collection. This brings the total number of directions given in respect of financial failure in 1991–92 to 11.
The effect of these directions is to require the authorities to seek the Secretary of State's consent if they wish to award the work, or elements of the work to their in-house labour force following re-tendering which is currently under way, planned or required by the direction.
He has decided to take no further action in respect of financial failure in 1991–92 by:
Barking and Dagenham, refuse collection; Corby, vehicle maintenance; Harrow, ground maintenance; Hillingdon, building cleaning; Leicestershire, ground maintenance; Northavon, vehicle maintenance; and Richmond upon Thames, ground maintenance; because they met financial objectives in 1992–93;Hillingdon, school and welfare catering; and Kingston upon Hull, other catering; because despite recording losses in 1992–93, they have provided evidence that financial objectives will be met in 1993–94;Ashford, ground maintenance and refuse collection; Brighton, other catering; and Castlepoint, other cleaning; because they have closed the DSO involved or are exploring other options, including privatisation;Colchester, building maintenance; because the DLO now operates below the "de minimis" level.Hillingdon and Kingston upon Hull have been asked to provide quarterly financial returns to the Department.
§ Mr. StrawTo ask the Secretary of State for the Environment (1) if he will list, by authority, the surplus achieved since 1988 on trading accounts for(a) general highways work, (b) construction and maintenance of sewers, (c) works of new construction and (d) maintenance 364W work, delivered by direct service or labour organisations in England under the terms of the Local Government, Planning and Land Act 1980;
(2) if he will list by authority and service area, as defined by the Local Government, Planning and Land Act 1980, the surpluses achieved by local authority direct service or labour organisations in England since 1988;
(3) if he will list, by authority, the surplus achieved since 1988 on trading accounts for (a) refuse collection, (b) street cleaning, (c) building cleaning, (d) schools and welfare catering, (e) other catering, (f) vehicle maintenance, (g) grounds maintenance and (h) sports and leisure management services delivered by direct service or labour organisations in England, under the terms of the Local Government Act 1988;
(4) if he will list by authority and service area, as defined by the Local Government Act 1988, the surpluses achieved by local authority direct service or labour organisations in England.
§ Mr. Gummer[holding answer 3 December 1993]: One thousand eight hundred and sixteen of the local authority direct service or labour organisation accounts for 1991–92 received by my Department recorded surpluses. I shall send a detailed list to the hon. Member and place a copy in the Library. Information on 1992–93 is not yet complete. Figures for previous years could only be obtained at disproportionate cost.