Market Testing (Hansard, 23 February 1994)

§ Mr. Jim Cunningham
To ask the Chancellor of the Duchy of Lancaster which departments have been subject to market testing; in each case what percentage of contracts have been awarded(a) outside and (b) inside the department; and what has been the cost of the process.

§ Mr. Waldegrave
All the main Government Departments have taken part in the "Competing for Quality programme. I expect to publish aggregate information on contract awards, and the cost of the process, in the citizens charter second report.

§ Mr. Jim Cunningham
To ask the Chancellor of the Duchy of Lancaster what savings have been achieved by market testing after taking into account(a) the cost of redundancy payments and (b) the cost of unemployment pay and other benefits in respect of civil servants rendered unemployed.

§ Mr. Waldegrave
The savings figures, to be published in the citizens charter second report, take account of the cost of redundancy payments. Information on the cost of unemployment pay and other benefits in respect of civil servants rendered unemployed is not available.

§ Mr. Jim Cunningham
To ask the Chancellor of the Duchy of Lancaster what monitoring arrangements exist in respect of outside contractors successful following market testing exercises.

§ Mr. Waldegrave
Guidance has been issued on the monitoring of contracts and can be found in the Government's guide to market testing, which has been placed in the Library.

§ Mr. Jim Cunningham
To ask the Chancellor of the Duchy of Lancaster in what circumstances successful bidders in market testing exercises may withdraw from contracts; and how many have done so.

§ Mr. Waldegrave
Contacts generally include clauses which allow for the termination of the contract by either side, after a given period of notice. The circumstances under which this may happen will be described in the contract. Information on contracts awarded following a market testing exercise which have subsequently been terminated is not held centrally.

§ Mr. Jim Cunningham
To ask the Chancellor of the Duchy of Lancaster how many civil servants have had their terms and conditions of employment and pension rates altered following a market testing exercise.
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§ Mr. Waldegrave
This information is not held centrally.

§ Mr. Jim Cunningham
To ask the Chancellor of the Duchy of Lancaster how many civil servants have been transferred to successful contractors following market testing exercises; and to how many of these the Transfer of Undertakings (Protection of Employment) Regulations 1981 applied.

§ Mr. Waldegrave
I expect to publish this information in the citizens charter second report.