HC Deb 17 April 2000 vol 348 cc373-4W
Mr. Flynn

To ask the Chancellor of the Exchequer if he will set out the reasons for the time taken to outsource Office for National Statistics projects as recommended by the Treasury Taskforce; and if he will make a statement on the current policy in respect of outsourcing work at the Office for National Statistics. [118885]

Mr. Timms

In February 1999, the then Economic Secretary announced a programme of efficiencies for the Office for National Statistics (ONS) which was expected to release £20 million through a combination of internal efficiency and outsourcing. These savings would be reinvested in the ONS to improve the range and quality of the statistical information it produces.

The programme of internal efficiency has proceeded and is releasing savings. The outsourcing of the facilities management services is also nearing completion, according to the original timetable, and should offer the ONS considerable savings.

However, before any outsourcing of other activities, we have asked the ONS to review their business strategies and to consider to what extent the private sector can contribute to their achievement. Government policy remains to draw on the best of the public and private sector to deliver modern, high quality, public services.

Mr. Flynn

To ask the Chancellor of the Exchequer what plans he has to improve the efficiency of the Office for National Statistics, with particular reference to the in-sourcing of work that can be undertaken cost-effectively there. [118886]

Mr. Timms

The Office for National Statistics is currently undertaking an Efficiency Programme which aims, through a combination of internal efficiencies and outsourcing of central services, to release £20 million to improve the quality and range of its statistics.

The internal efficiencies achieved, since the beginning of the Programme in February 1999 are summarised as follows:

Amount in 2000–01
IS development 205,000
IS consolidation 750,000
Accounts processing 100,000
Merge Marketing/Press 100.000
Merge Personnel/HRD 100,000
Reduce property holdings 300,000
Total 1,555,000

The ONS is also reviewing a range of other areas to achieve more internal efficiency savings. Examples of the activities involved include finance and planning, general administration and document output. In addition, business areas such as Business and Prices and the Registration service are undergoing major efficiency reviews which will consider the most cost effective approach to these areas of work. All of these internal efficiencies, together with the rest of the ONS Efficiency Programme, will help ensure that resources are focused towards the delivery of a high quality statistical service.