HC Deb 30 March 1994 vol 240 cc823-4W
Mr. Richards

To ask the Secretary of State for Wales what financial controls he proposes should apply to councils during the suspension of compulsory competitive tendering because of local government reorganisation.

Mr. Gwilym Jones

The suspension of compulsory competitive tendering does not affect the duty for councils to achieve a specified rate of return under the Local Government, Planning and Land Act 1980, or my right hon. Friend's powers to take action in cases of failure to achieve the rate of return.

The suspension of CCT means that, for principal councils in Wales, there would be no requirement to achieve a specified financial objective, or any sanctions in case of failure, for work which is currently a "defined activity" for the purposes of the Local Government Act 1988.

The Government propose to bring forward an amendment to the Local Government (Wales) Bill to provide that, notwithstanding the suspension of CCT, authorities should continue to be under a duty:

  • —to keep accounts for this work;
  • —to submit returns to my right hon. Friend the Secretary of State; and
  • —to achieve a specified financial objective.

were in 1989, 1990, 1991, 1992 and 1993 in (a) numbers and (b) as a percentage of the total NHS nursing and midwifery staff.

Mr. Gwilym Jones

The information requested is given in the table.

The amendment would also give my right hon. Friend the power to act in the event of failure to achieve the specified financial objective. The obligations and powers sought would have retrospective effect, from 1 April 1994, but would not differ from those which currently apply.

Local authorities will be informed of the detail of the Government's proposal.