§ Mr. HuttonTo ask the Secretary of State for Social Security (1) what is his estimate of the value, in cash terms, of the savings to the Benefits Agency which have resulted from the contract awarded to BET to provide accommodation and office services to the Benefits Agency; [17754]
(2) which consultants were employed by the Benefits Agency to review the operation of the contract awarded to BET to provide accommodation and office services to the Benefits Agency; what was the value of that contract; and if he will place a copy of the consultant's report in the Library. [17704]
§ Mr. Roger EvansThis is a matter for Peter Mathison, the chief executive of the Benefits Agency. He will write to the hon. Member.
705WLetter from Peter Mathison to Mr. John Hutton, dated 28 February 1996:
The Secretary of State for Social Security has asked me to reply to your recent Parliamentary Questions asking what is his estimate of the value, in cash terms, of the savings to the Benefits Agency (BA) which have resulted from the contract awarded to BET to provide accommodation and office services to the BA; and which consultants were employed by the BA to review the operation of the contract awarded to BET to provide accommodation and office services to the BA; what was the value of that contract; and if he will place a copy of the consultants's report in the Library.The BA has seven contracts with BET for accommodation and office services and the cash savings to the BA resulting from these contracts are estimated as £4.87 million per year.The BA keeps all contracts under internal review by monitoring their effectiveness in delivering services while maintaining value for money. The Agency employs a number of consultants to provide technical and contracting advice in support of the Department of Social Security's Competing for Quality programme. The consultants advise on draft contracts and contract variations, the contractual implications of policy and procedural changes and on the best contract practice to secure contained value for money. Although consultants may also be asked to give advice on contracts as they are reviewed, it is not possible to identify a proportion of consultants' costs attributable solely to work relating to the contracts BA has with BET. This is because most of the consultants work concerns issues of general relevance to all the contracts relating to the Competing for Quality Programme.Internal consultants have carried out a specific study relating to one BET contract. The approximate cost of this study was £2,500. This study contains commercial information which has been given in confidence, therefore a copy will not be placed in the library.I hope you find this reply helpful.