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Government Contracts (London Area)

Volume 411: debated on Friday 8 June 1945

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asked the Minister of Production whether there has been any further development in his policy as regards the placing of Government contracts in the London area; and whether he will fully explain the present position.

The policy to which my hon. Friend refers has been reviewed in the light of changes resulting from the end of the war in Europe and prospective changes in the labour position in London, and it has been decided to dispense with the restrictions on the renewal or replacement of Government contracts in London. There is still a serious shortage of labour in London, however, and we shall have to continue to exercise close scrutiny of all proposals which involve demands for additional labour. At the same time, with the end of the war in Europe, the direct demands of Government Departments are decreasing, and it should not be assumed that further Government work will be available in any given case when current contracts come to an end.