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Competitive Tendering

Volume 173: debated on Tuesday 5 June 1990

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To ask the Secretary of State for Health how much money he estimates has been saved in total by health authorities as a result of compulsory competitive tendering in each of the last five years; and what likely savings he expects to be made in 1990–91 at current prices.

An initiative was started in 1983 to encourage health authorities to place contracts through competitive tendering of laundry, domestic and catering services. Up to the end of 1988–89 this initiative had resulted in cumulative savings of £110 million with an additional £6 million savings expected in 1989–90. Estimated savings for 1990–91 are not yet available.