HL Deb 25 March 1993 vol 544 cc26-8WA
Lord Kennet

asked Her Majesty's Government:

Which are the 10 consultancy firms that have been most frequently used by departments over the last 14 years; how many of them employ or have as directors current or ex-Cabinet Ministers or Members of Parliament or retired senior civil servants, and how many of the consultant firms' employees have subsequently been employed in carrying out work recommended by the consultants' reports.

The Earl of Caithness

This information is not held centrally.

Lord Kennet

asked Her Majesty's Government:

How is the remuneration of consultants established, what level of expenses they are allowed and by whom; by whom are their accounts audited; what if any is the role of "commercial secrecy" in the matter of their remuneration; and in cases where "commercial secrecy" is permitted to operate, how they ensure that the discipline of the market is brought to bear.

The Earl of Caithness

The Treasury booklet,Seeking Help from Management Consultants, provides guidance to departments to help them to ensure that relevant data including prices, payment basis and procedures are spelt out in contracts. Similar advice is given to tender selection boards in choosing firms of consultants. These procedures apply regardless of the classification of the contract. Payments made to consultants are subject to audit by the National Audit Office.

Lord Kennet

asked Her Majesty's Government:

What are the procedures whereby they are able to ensure that the reports produced by consultants who are commissioned by departments to study issues of public interest are ideologically and politically impartial and objective, and are not tilted towards the firm's future commercial interests.

The Earl of Caithness

The Treasury booklet,Seeking Help from Management Consultants, includes a section which gives advice on tendering and contract procedures. This is based on objective professional guidance provided by the Treasury's Central Unit on Purchasing. The booklet also advises departments to have draft contracts vetted by their own lawyers. Reports from consultants inform the decision-making process but policy judgments are for ministers to make.

Lord Kennet

asked Her Majesty's Government:

What are the procedures whereby they are able to ensure that the reports produced by consultants who are commissioned by departments to study issues of public interest are subjected to professional review.

The Earl of Caithness

The Treasury booklet,Seeking Help from Management Consultants, provides guidance to departments to ensure that consultancy reports are of the required quality; it also provides guidance on reviewing the performance of consultants and evaluating their work.

Lord Kennet

asked Her Majesty's Government:

What are the procedures whereby they are able to ensure that firms of consultants who are commissioned by departments to study issues of public interest at the taxpayers' expense (a) give value for money and (b) are immune from conflicts of interest.

The Earl of Caithness

The Treasury booklet,Seeking Help from Management Consultants, copies of which are available in the Library, provides guidance to departments to help them to ensure value for money and avoid possible conflicts of interest.

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