(5 years, 6 months ago)
Public Bill CommitteesMy right hon. Friend is absolutely right, and I will come on to that.
The point of that experience is that it is not for us to prescribe how the Sponsor Body might do this, but a body managing a project of this size, with this range of work, can seek out and assist and support others to do it. My right hon. Friend the Member for Alyn and Deeside talked about having roadshows; there are Members in this House who will be the best advocates for their local businesses. I am sure that people who know that we are on this Committee and have an interest have come and told many of us about how their constituency provided elements of the existing building and could provide them again.
I think we will hear from the ceramics sector in a moment. There are an awful lot of opportunities for our local businesses. I am sure that local authorities and business organisations in different areas will be champing at the bit to prove that their organisations can do it.
My right hon. Friend the Member for Alyn and Deeside made a valid point about contracting. The Government have moved on with things like G-Cloud to make it easier for smaller businesses to contract, but the rules can be challenging. I would not want to prescribe anything in the Bill because I think it is challenging to prescribe in law, but I hope that the Sponsor Body—I will put it on the record, and I hope it will read or hear this—makes sure that the contracts are broken down into the right size. Often, for those procuring large contracts, it is simpler to secure one big one and to let the subcontractors to the big contract take up the work. The danger with that is that they are not subcontractors.
One of the things that we need to have in place is an audit system. With the Olympics, after the event no proper audit was done of the jobs that were supposed to be created locally. The National Audit Office could have direct access to those companies, which would be a great way forward, or the Sponsor Body could commission its own audit. As we have a National Audit Office serving Parliament, however, I think it would be an excellent place to do that. The outgoing Comptroller and Auditor General and his team were keen on that. I have not had the chance to speak to the new incumbent, who started his job—very nobly—on Saturday. It is early days for him, but I am hopeful that the NAO team is still willing to take that on, as I had that reassurance from them.
Unless we measure and monitor what is happening, games can be played—people and businesses can lose out. This measure does not need to cost more if the preparatory work is done, so that such businesses can apply. Think of the skills that this place could use—stonemasons, wood carvers and a huge range of other skills and niche businesses—some of which we might not have in the UK, but if we start planning now and thinking about what we might be doing, some businesses could adapt their production processes to provide some of the things that this House needs. The prospect of a big contract might make it worth their while to take that risk. Of course it is a risk—we cannot just give those companies a contract; they will still have to bid for it—but if they are willing to do that, we should give them every opportunity.
That yearly audit is vital, and the benefits will not happen otherwise. If the Sponsor Body goes down the route of having subcontractors, we have to have a way to ensure that the big companies really subcontract to specialists, not just to subcontractors they already know and work with, but opening things up more widely. The risk is that that will not happen, but I do not want to prescribe it in law because it is challenging.
If the amendment is adopted it would require the Sponsor Body to think about big project integration. Often with big projects—most recently with Crossrail—the challenge is to integrate the smaller contracts at the time just before delivery. Some of the bits of work will have to finish at around the same time, or in sequential order, to work properly, so the Sponsor Body would be required to think that through carefully in the early days. That is why I would like to get this in the Bill, so that the body has no excuse—in law, it would know what it has to do.