HC Deb 02 December 1996 vol 286 cc500-1W
Mr. Darling

To ask the Secretary of State for Social Security if the figures for planned spending by his Department in 1997–98, 1998–99 and 1999–2000 published in table 5A.4 of the "Financial Statement and Budget Report 1997–98" include the effects of any agreement concerning the Department's estate under the private finance initiative. [7196]

Mr. Lilley

Yes. The successful bidder for the DSS estate services contract will be required to provide a payment of £250 million to realise underlying value from the assets. This sum will he payable on completion of the contract, expected in 1997–98. The figures for 1997–98 in table 5A.4 of the latest "Financial Statement and Budget Report" take account of this receipt. The Department also expects further on-going running costs savings from efficiencies in estate management. The extent of these will of course be subject to the outcome of the competition process.

I also refer the hon. Member to the reply I gave my hon. Friend Member for Swindon (Mr. Coombs) on 12 November, Official Report, columns 201–02.