Oral Answers to Questions Debate

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Department: Cabinet Office

Oral Answers to Questions

Ian Levy Excerpts
Thursday 11th May 2023

(1 year ago)

Commons Chamber
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Oliver Dowden Portrait Oliver Dowden
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My right hon. Friend the Minister for the Cabinet Office and Paymaster General has just published the affordability for settlements for civil servants. Remember that this is devolved to each individual Government Department. Of course, I do not dispute for a moment the challenges that people face as a result of the war in Ukraine pushing up inflation around the world, and that is why we have taken action across the board. However, I would say that we cannot allow inflation- busting pay rises, the only effect of which will be to make it harder to meet our target of halving inflation and to make every single person in this country—public and private sector—poorer.

Ian Levy Portrait Ian Levy (Blyth Valley) (Con)
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15. What steps he is taking with Cabinet colleagues to ensure value for money in public procurement spending.

Alex Burghart Portrait The Parliamentary Secretary, Cabinet Office (Alex Burghart)
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It is Government policy to award contracts on value-for-money terms, as is set out in “Managing Public Money”. We always look for the optimum combination of cost and quality over the lifetime of any project. The Procurement Bill will drive value for money by providing greater flexibility to contracting authorities to design efficient, commercial and market-focused competitions, and it removes overly prescriptive rules contained in existing regulations that we would have been bound to if, as the Opposition wanted, we had stayed in the European Union.

Ian Levy Portrait Ian Levy
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I am fiercely supportive of the project to build a gigafactory on the Blyth estuary, which would provide much-needed jobs for my constituents. However, I also believe in due diligence when spending public money. Would my hon. Friend agree with me that it was a wise decision for the Government to withhold the release of a £100 million grant for this project? The Labour party wanted to release this large sum of public money without ensuring the financial stability of the business, once again spending other people’s money.

Alex Burghart Portrait Alex Burghart
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My hon. Friend is absolutely right: taxpayer money must always be used responsibly. Unfortunately, the conditions of the grant were not met and therefore no funds from the automotive transformation fund were paid out. We are pleased that Britishvolt has successfully been acquired and we will continue to work closely with the local authority to ensure the best outcome for this sale.