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DTLGR and Finsbury Ltd
Lord Moynihan asked Her Majesty's Government:
- Whether they will publish details of the contractual relationships between the Department for Transport, Local Government and the Regions and the Finsbury public relations firm.[HL3373]
Lord Falconer of Thoroton: The contract between Finsbury Ltd and the department is commercial in confidence.
Lord Moynihan asked Her Majesty's Government:
- Whether Sir Richard Mottram, the Permanent Secretary at the Department for Transport, Local Government and the Regions, has held any meetings with Finsbury Public Relations; and, if so, on what dates.[HL3374]
Lord Falconer of Thoroton: It is not the normal practice of the Government to release details of the meetings or discussions with private individuals or companies.
Lord Moynihan asked Her Majesty's Government:
- Whether any work undertaken by Finsbury Public Relations has been relevant to government responsibilities; and, if so, whether they will publish the relevant contract detailing these responsibilities, indicating specifically where such work could not have been effectively carried out by officials in the Department for Transport, Local Government and the Regions.[HL3375]
Lord Falconer of Thoroton: Finsbury Ltd is employed by the department to work on specialised
communications work connected with the Railtrack in administration project; expertise that is not available from within the department. The details of their contract remain commercial in confidence.
Lord Moynihan asked Her Majesty's Government:
- Whether Finsbury Public Relations has ever offered advice to Department for Transport, Local Government and the Regions Ministers or officials beyond their specific brief on the administration of Railtrack.[HL3376]
Lord Falconer of Thoroton: Finsbury Ltd does not offer advice to the department, ministers or officials beyond its specific brief on the administration of Railtrack.
Lord Moynihan asked Her Majesty's Government:
- Whether, at any time, Schroder Salomon Smith Barney has employed the Finsbury Public Relations firm at the request of the Secretary of State for Transport, Local Government and the Regions; and whether any such arrangements to employ Finsbury Public Relations comply with civil service guidelines.[HL3377]
Lord Falconer of Thoroton: SSSB is the department's financial advisers and employed Finsbury Ltd to handle its financial PR from October–December 2001. The selection of the company was entirely its choice.
The department decided that it continued to need specific, expert advice on financial PR matters connected with the Railtrack in administration project as this expertise was not available elsewhere in the department. SSSB was asked to negotiate a price for continuing to use Finsbury Ltd's services on behalf of the department but it was decided that it would be preferable for the company to be employed direct by the department.
Since January 2002 therefore, Finsbury Ltd has been on contract to the department. The arrangements for its employment follow civil service guidelines.
Council Tax Increases
Lord Greaves asked Her Majesty's Government:
- Whether they accept the report in The Times newspaper of 11 March that the average council tax increase in London and in areas with metropolitan councils will be "around 6 per cent"; and, if so, what are the reasons for this increase being over twice the underlying inflation rate of 2.6 per cent; and[HL3378]
Whether they accept the report in The Times newspaper of 11 March that the average council tax in areas with county councils will show a 9.4 per cent rise on last year; and, if so, what are the reasons for this increase being 3.6 times greater than the underlying inflation rate of 2.6 per cent, and half as much again as the average increase in London and areas with metropolitan councils.[HL3379]
Lord Falconer of Thoroton: Information showing council taxes for each English authority for 2002–03 was published on 21 March 2002.
The increases in council tax will be: 6.4 per cent in London; 5.1 per cent in metropolitan areas; 9.9 per cent in areas with shire county councils; and 9.0 per cent in areas with shire unitary councils.
Decisions on council taxes are for local authorities to take, after consulting their local electorate and taxpayers. However, with an average grant increase of 7.5 per cent, local authorities should be able to deliver improvements to public services while setting reasonable council tax increases.
There is some evidence of a link between council tax rises and electoral cycles. This is especially true for county councils, where elections were held last year and the average rise this year is significantly higher than those for most of the other types of authority that have responsibility for the same services.
Lancashire: Council Tax
Lord Greaves asked Her Majesty's Government:
- Further to the Written Answer by the Lord Falconer of Thoroton on 13 March (WA 84), what is the percentage increase represented by the general grant increase of £26.673 million in the coming financial year to Lancashire County Council; and how much of this is accounted for by the floor for councils with education and social services responsibilities.[HL3380]
Lord Falconer of Thoroton: Lancashire County Council receives a 4.3 per cent increase in general formula grant for 2002–03 after adjusting for changes in function and funding arrangements. Lancashire's formula grant allocation for 2003–04 is £2.596 million higher than it would have been without the floor.
Vauxhall Cross: Roadworks
Lord Lipsey asked Her Majesty's Government:
- What is the purpose of the roadworks currently taking place at Vauxhall Cross, London; and[HL3418]
Whether they will publish the cost-benefit analysis carried out before roadworks at Vauxhall Cross, London, were undertaken; and[HL3419]
What were the estimates of the delays caused to travellers as a result of the roadworks at Vauxhall Cross, London; and how these compare with the delays actually experienced; and[HL3420]
What, if any, financial payments contractors and others will make in consequence of the delays that their roadworks at Vauxhall Cross, London, cause.[HL3421]
Lord Falconer of Thoroton: I refer the noble Lord to the Answer that I gave to the noble Lord, Lord Hayhoe on 20 March 2002 (Official Report, WA 150).
London Underground: Letters of Comfort
Lord Oakeshott of Seagrove Bay asked Her Majesty's Government:
- When Parliament will see the letter of comfort underwriting 95 per cent of the third party debt to be provided for London Underground, which the Lord McIntosh of Haringey told the House of Lords on 18 March (HL Deb, col. 820) had already been issued; and[HL3422]
What rate of interest they expect to be necessary on the 95 per cent of third party debt to be underwritten by their letter of comfort, referred to by the Lord McIntosh of Haringey in the House of Lords on 18 March (HL Deb, col. 820); and[HL3423]
How long Parliament will have to scrutinise the letter of comfort referred to by the Lord McIntosh of Haringey in the House of Lords on 18 March (HL Deb, col. 820) before binding contracts are entered into with the providers of third party debt for the London Underground Public Private Partnership.[HL3424]
Lord Falconer of Thoroton: My right honourable Friend the Secretary of State is considering issuing comfort letters in relation to the Tube modernisation contracts, but has not yet done so. Drafts of these letters, which are not intended to create binding obligations and do not underwrite 95 per cent of third party debt, have been discussed with bidders. They were laid before Parliament on 20 March 2002 using the Minute procedure.
Precise finance terms for the third party debt raised under the PPP contracts are still to be finalised. To estimate at this stage what rate of interest the private sector infrastructure companies pay on the debt they raise would undermine London Underground's commerical position and jeopardise its ability to deliver best value.
"MV Derbyshire"
Lord Dixon asked Her Majesty's Government:
- How many of Mr Justice Colman's recommendation at the end of the re-opened formal investigation into the sinking of "MV Derbyshire" have been implemented; and whether they intend to implement all these recommendations.[HL3499]
Lord Falconer of Thoroton: The Government continue to give strong support to the safety recommendations made by Mr Justice Colman and will adopt as many recommendations as we can. Mr Justice Colman made recommendations to enhance bulk carrier safety and maritime safety generally. These were addressed to the department, Lloyds
Register of Shipping, the International Association of Classification Societies (IACS) and the International Maritime Organisation (IMO). To be effective the recommendations must be implemented internationally. The Maritime Safety Committee (MSC) of the IMO has established the International Bulk Carrier Formal Safety Assessment (FSA) Project for this purpose. The UK's Maritime and Coastguard Agency (MCA) is taking the leading role in this project. The MCA has also recently sent its FSA submissions to the MSC secretariat.
In consultation with the others to whom recommendations are addressed, the department is working towards preparing a response to each of the recommendations. This response will be presented to Parliament.
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