Oral Answers to Questions Debate

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Department: Cabinet Office

Oral Answers to Questions

Lord Maude of Horsham Excerpts
Wednesday 13th June 2012

(11 years, 10 months ago)

Commons Chamber
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Lord Evans of Rainow Portrait Graham Evans (Weaver Vale) (Con)
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1. What savings to the public purse have resulted from changes to the Government estate in the last two years.

Lord Maude of Horsham Portrait The Minister for the Cabinet Office and Paymaster General (Mr Francis Maude)
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The moratorium on new leases and on passing over breaks in existing leases has helped us across central Government to save the taxpayer some £278 million from property in just the first 10 months of the coalition Government’s time in office. To date, central Government have got out of more than 900 leases and released freeholds, and last year alone the size of the estate fell by 6%.

Lord Evans of Rainow Portrait Graham Evans
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Will my right hon. Friend reassure the House that the Government will get value for taxpayers’ money by ensuring that, wherever possible, the publicly owned freehold estate is used to avoid the need for expensive leases?

Lord Maude of Horsham Portrait Mr Maude
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That is exactly our approach. Far too much of the freehold estate is under-occupied and far too many expensive leasehold properties are occupied in a very inefficient way. In Bristol alone we discovered that central Government, in their different forms, occupied 115 separate addresses, which is very inefficient and not at all conducive to joined-up government.

Jon Trickett Portrait Jon Trickett (Hemsworth) (Lab)
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As you know, Mr Speaker, we should always watch what Ministers do, rather than simply listening to what they say. The problem with this Minister is that he promised millions of pounds of savings from other Departments while sneakily building up his own empire. In truth, his Department’s agencies had 23,000 square metres of office space when he came to office, but that figure has more than doubled to a staggering 56,000 square metres. Squeezing others while fattening up his own Department is hardly a policy that will incentivise colleagues to reduce their estate. When will he deliver the savings, and not just mythical ones?

Lord Maude of Horsham Portrait Mr Maude
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The hon. Gentleman ought to look a little more carefully at the facts. He will see that the National School of Government and the Central Office of Information, which had been part of quangoland under the previous Government, have been brought in-house and so have been closed down.

Peter Bone Portrait Mr Peter Bone (Wellingborough) (Con)
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May I satisfy the Opposition Front-Bench spokesman and give the Minister for the Cabinet Office good news by suggesting that even more money could be saved by relocating out of London and coming to Wellingborough?

Lord Maude of Horsham Portrait Mr Maude
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I am confident that, under my hon. Friend’s benign guidance, Wellingborough is an incredibly good place for people to work. The size of the civil service is falling to its smallest since the second world war and we are reducing the number of people who need to be in central London, but if the opportunity to relocate people out of London arises, I am sure that Wellingborough will have a very good case to make.

Gloria De Piero Portrait Gloria De Piero (Ashfield) (Lab)
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When it comes to making savings for the public purse, a constituent of mine has written to me: she works for the civil service and is travelling two to three times a week from Nottinghamshire to London to attend meetings that last about an hour. Is that not a ridiculous waste of money, and what are Ministers doing about it?

Lord Maude of Horsham Portrait Mr Maude
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Yes, indeed. I recommend that the Department for which the hon. Lady’s constituent works investigate the use of the telephone, which has been around for quite some time.

Sandra Osborne Portrait Sandra Osborne (Ayr, Carrick and Cumnock) (Lab)
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2. What steps he plans to take to measure the social impact of Big Society Capital.

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Wayne David Portrait Mr Wayne David (Caerphilly) (Lab)
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3. What steps he is taking to support civil servants facing redundancy.

Lord Maude of Horsham Portrait The Minister for the Cabinet Office and Paymaster General (Mr Francis Maude)
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All Departments are rightly required to maximise opportunities for redeployment within the Government and to make all reasonable efforts to avoid compulsory redundancies. All Departments also have in place appropriate support for those employees affected, including retraining, career coaching and advice, and help with CV writing.

Wayne David Portrait Mr David
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Since the coalition Government were formed, 1,000 senior civil servants have left the civil service. How many senior civil servants does the Minister expect to leave in the immediate future?

Lord Maude of Horsham Portrait Mr Maude
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As I said a little earlier, the size of the civil service has already fallen to its smallest since the second world war, and there will be further downsizing, as we have made clear. The resignation rate of senior civil servants is stable: there is no higher turnover than before.

Bernard Jenkin Portrait Mr Bernard Jenkin (Harwich and North Essex) (Con)
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Will my right hon. Friend confirm that next week the Government are going to publish their civil service reform plan, and that this issue may be one that the plan addresses as the Government try to set out a clear change programme for the whole of government?

Lord Maude of Horsham Portrait Mr Maude
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We will publish in due course a plan for civil service reform, the pattern of which will be incremental reform that is capable of implementation. It should not be another civil service reform plan that lies unimplemented, gathering dust on library shelves.

Jason McCartney Portrait Jason McCartney (Colne Valley) (Con)
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4. What steps he is taking to encourage small and medium-sized enterprises to bid for Government contracts.

Lord Maude of Horsham Portrait The Minister for the Cabinet Office and Paymaster General (Mr Francis Maude)
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It is our aim and aspiration that by the end of this Parliament 25% of central Government spend with outside providers should be with small and medium-sized enterprises. We have launched a series of radical measures to simplify the procurement process in order to make it easier and cheaper for all companies to see the business available with the Government and to bid and compete effectively. Our direct spend with SMEs since the Labour party left office is already on track to double.

Jason McCartney Portrait Jason McCartney
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How can SMEs in my constituency find out more about how to do more business with the Government?[Official Report, 18 June 2012, Vol. 546, c. 3-4MC.]

Lord Maude of Horsham Portrait Mr Maude
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By looking at the Contracts Finder website, which is the main source of Government contracts over £100,000. That is the place where they should look, and I hope that they will, but since February 2011, when we announced our new approach, about a third of new contracts have already been awarded to SMEs.

Iain McKenzie Portrait Mr Iain McKenzie (Inverclyde) (Lab)
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Will the Minister advise the House on what help or education have been given to small and medium-sized businesses regarding online e-procurement? Many small businesses in my constituency find it quite challenging to go online.

Lord Maude of Horsham Portrait Mr Maude
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I will look into that, but the hon. Gentleman might like to bring some of those suppliers to me to talk through the difficulties, because we want to make the process as easy as possible. Suppliers tell me that bidding for public sector contracts costs them typically four times as much as bidding for private sector contracts. The changes that we are making will radically reduce that, but we want to make sure that the process works, so I should be grateful for his help.

Mark Williams Portrait Mr Mark Williams (Ceredigion) (LD)
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According to the Federation of Small Businesses, 40% of businesses still say that the tendering process is too complex. There are some very good messages in the procurement pledge on the website that the Minister mentioned. What steps is he taking to encourage people to adopt the principles of the pledge?

Lord Maude of Horsham Portrait Mr Maude
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That is policy within central Government, and it should happen, although I am not for a moment claiming that it is universal yet. We want to hear about procurements that are not being done in the right way. In the wider public sector, we can do no more than exhort and encourage, and we will do so. However, it remains the case that if we are alerted to procurements being done in the old-fashioned way, which is very antagonistic to small businesses, we will intervene. We have got a number of those changed for the better.

Michael Dugher Portrait Michael Dugher (Barnsley East) (Lab)
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The latest official figures continue to show that the proportion of procurement spend going to SMEs is decreasing in the majority of Government Departments. A recent survey by the FSB found that 40% of SMEs believe that the tendering process is too complicated, while 37% believe that they are being “sidelined” by the Government. Does the Minister agree with Mark Thompson, an adviser to his own Department, who said:

“The reality is, government has very little idea of how to deal with SMEs and has very little in the way in terms of concrete plans here”?

Lord Maude of Horsham Portrait Mr Maude
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The main change is that for the first time there are official figures for this spend—the previous Government did not even bother to count it—and the numbers are going up. Obviously within each Department there will not necessarily be an even progress all the time—I would have thought that even the hon. Gentleman ought to be able to understand that—but across the whole of Government spend with SMEs has doubled. I would hope that he would enthusiastically welcome that.

Mark Spencer Portrait Mr Mark Spencer (Sherwood) (Con)
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5. What steps he is taking to reduce the administrative and regulatory burdens that affects the number of people who volunteer.

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Andrew Bridgen Portrait Andrew Bridgen (North West Leicestershire) (Con)
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6. What progress he has made on his plans to place civil service pensions on a sustainable footing.

Lord Maude of Horsham Portrait The Minister for the Cabinet Office and Paymaster General (Mr Francis Maude)
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We are committed to ensuring that the reform of public sector pensions means that public servants will continue to receive pensions that are among the very best available. These now provide a fair deal for public service workers while being an affordable deal for the taxpayer and a good deal for the country that is sustainable in the long term. We have spent months negotiating a new scheme that was put to the civil service unions some months ago. I am pleased that four unions have now accepted the proposals.

Andrew Bridgen Portrait Andrew Bridgen
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I am sure that the 85% of the work force in my constituency who work in the private sector will welcome that response given that their pensions are, on average, far less generous than those available in the public sector, which they are also expected to fund. Will my right hon. Friend give the House an estimate of the sum that the taxpayer would be expected to pay for public sector pensions over the next 25 years if these reforms did not take place?

Lord Maude of Horsham Portrait Mr Maude
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It is perfectly clear that the reforms that we put in place across the public sector will save the taxpayer tens of billions of pounds over coming decades. The Office for Budget Responsibility will make a more precise calculation in its next long-term outlook.

Seema Malhotra Portrait Seema Malhotra (Feltham and Heston) (Lab/Co-op)
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7. What discussions Ministers in his Department have had with their ministerial colleagues on charitable donations.

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Debbie Abrahams Portrait Debbie Abrahams (Oldham East and Saddleworth) (Lab)
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10. What steps he has taken to ensure clarity and efficiency in the delivery of policy across Government.

Lord Maude of Horsham Portrait The Minister for the Cabinet Office and Paymaster General (Mr Francis Maude)
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On 31 May we published business plans for 17 Government Departments, which clearly set out the actions that Departments will take to implement the Government’s reform priorities and by when. The No. 10 website publishes monthly updates on which actions have been completed and which are overdue.

Debbie Abrahams Portrait Debbie Abrahams
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Will the Minister explain how one Government policy operating in direct conflict with another—for example, the withdrawal of the right to flexible working conflicting with support for carers—amounts to efficiency?

Lord Maude of Horsham Portrait Mr Maude
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The particular issues are well outside my responsibilities, but I will cheerfully look at the question that the hon. Lady raises.

Douglas Carswell Portrait Mr Douglas Carswell (Clacton) (Con)
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11. What steps he is taking to reduce fraud in Government procurement.

Lord Maude of Horsham Portrait The Minister for the Cabinet Office and Paymaster General (Mr Francis Maude)
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We are committed to tackling fraud and error in all areas of Government business, including public procurement. We believe that we can save the taxpayer billions of pounds a year by doing that across Government. Every central Government body will carry out a spend recovery audit by the end of next year, which should generate savings of between £50 million and £100 million. The Home Office and the Department for Transport have already recovered significant amounts by doing this.

Douglas Carswell Portrait Mr Carswell
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In welcoming the greater efficiencies and economies of scale that come from centralised procurement, does my right hon. Friend recognise the danger that centralised procurement can, in effect, throw up barriers to entry for smaller suppliers? Might this not help to explain why small and medium-sized enterprises are not always getting their fair share?

Lord Maude of Horsham Portrait Mr Maude
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As I said earlier, SMEs are increasing their share of Government business. It has doubled since the election and is set to continue further. I point my hon. Friend to what happened with the Government’s aggregated travel contract when we brought it together: one of the two contracts for travel across the whole of Government was won by a small business, which is rapidly becoming a bigger one.

Duncan Hames Portrait Duncan Hames (Chippenham) (LD)
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T1. If he will make a statement on his departmental responsibilities.

Lord Maude of Horsham Portrait The Minister for the Cabinet Office and Paymaster General (Mr Francis Maude)
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My responsibilities are the public sector Efficiency and Reform Group, civil service issues, the industrial relations strategy in the public sector, government transparency, civil contingencies, civil society and cyber security.

Duncan Hames Portrait Duncan Hames
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In March, Ministers confirmed in this place that the Department was conducting a review into the long-term funding challenges facing the charity advice sector, as was promised to me by the Prime Minister last October. Will the Minister tell the House and the busy advisers, such as those at Wiltshire’s citizens advice bureau, what conclusions he has reached?

Lord Maude of Horsham Portrait Mr Maude
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Advice providers, like other parts of the voluntary sector, are facing a difficult funding situation. In the Budget, the Chancellor made £20 million available in each of the next two years to support the not-for-profit advice sector as it adapts. Our transition fund also provides support to 45 CABs and 17 law centres, and the Ministry of Justice is increasing funding for mediation services by £15 million to encourage greater use of mediation in disputes.

Gareth Thomas Portrait Mr Gareth Thomas (Harrow West) (Lab/Co-op)
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Twelve months ago, the Minister for the Cabinet Office gave the Work programme as an example of the big society in action. A year on, some of the charities that signed up originally have gone bust and almost 100 have withdrawn their welfare-to-work expertise from the programme completely. Is this yet another example of the lack of leadership from Cabinet Office Ministers for charities across Whitehall, or can we finally expect some action to sort this mess out?

Lord Maude of Horsham Portrait Mr Maude
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I do not know from that question whether the hon. Gentleman believes it is right for social enterprises to play a major role in the provision of public services. We do, and more than 500 social enterprises and voluntary organisations are involved in the supply chain. I would have thought that he welcomed that.

John Bercow Portrait Mr Speaker
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Order. Far too many noisy private conversations are taking place in the Chamber. Let us have a bit of order for Nicola Blackwood.

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Stephen Timms Portrait Stephen Timms (East Ham) (Lab)
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T2. The Department for Work and Pensions has no right to data. Absurdly, its Ministers have banned Work programme providers from publishing any data on their performance. That is the opposite of this Minister’s open data policy. What is he doing about it?

Lord Maude of Horsham Portrait Mr Maude
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I will tell the right hon. Gentleman exactly what we are doing about it: we are following the processes set up by the last Government.

Caroline Dinenage Portrait Caroline Dinenage (Gosport) (Con)
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T7. What assessment has the Minister made of last year’s National Citizen Service pilots?

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Luciana Berger Portrait Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)
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T3. The Government came to power promising a bonfire of the quangos. Will the Minister confirm, however, that the Health and Social Care Act 2012 creates more quangos than the Public Bodies Act 2011 abolished?

Lord Maude of Horsham Portrait Mr Maude
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No, Sir.

Adam Afriyie Portrait Adam Afriyie (Windsor) (Con)
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T9. The Minister for the Cabinet Office must be praised for his efforts in driving forward the open data agenda, through which dusty Government datasets are beginning to provide the jobs and economic growth that the country so desperately needs. What further measures does he have in mind to open up such dusty public sector datasets?

Lord Maude of Horsham Portrait Mr Maude
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My hon. Friend has been a formidable, expert and passionate advocate of the open data agenda. Open data are the new raw material and can drive a huge amount of business growth. The Government are already the world leader in opening up data, but there is more to come. [Interruption.]

John Bercow Portrait Mr Speaker
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Order. It is very unfair on the Minister that he is not being heard. He should be heard, as should all Members.

Valerie Vaz Portrait Valerie Vaz (Walsall South) (Lab)
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T4. The Government have sold off 250 freeholds of the nation’s buildings and land. If they are going to continue to do that, will the Minister ensure that there is a covenant in the conveyancing to ensure that the public have access to public land?

Lord Maude of Horsham Portrait Mr Maude
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I will look at the issue that the hon. Lady raises. If she has particular concerns about property to which public access should be guaranteed and is not, we will no doubt want to consider the matter.


The Prime Minister was asked—