MULHOLLAND REQUESTS AUDIT OFFICE TO REVIEW "SLAP IN THE FACE" FOR LEEDS

12.00.00am BST (GMT +0100) Thu 29th Jun 2006

Leeds MP and Member of the Parliamentary Work and Pensions Committee, Greg Mulholland MP, has asked the National Audit Office to conduct an urgent investigation of the recent decision of the Job Centre Plus to change the provider of the New Deal scheme in Leeds.

Leeds City Council who currently operate this programme until July 1st, received a nationally recognised Beacon Status for the quality of the service that they provide. However, despite this not only have the Job Centre Plus now awarded the contract to another service provider, but failed to give Leeds City Council any notification that they would no longer be responsible for this service.

This has left huge uncertainty for staff delivering the scheme and for those who benefit from it, with no explanation of how the decision was reached to award the scheme to a private company despite the quality of the current service provider. As a result, Leeds City Council was not able to put in place the statutory staff consultation process, which has led to a charge of maladministration being levelled at Job Centre Plus.

Greg has also tabled questions in Parliament to the Secretary of State for Work and Pensions to establish the reasons for this decision, information which is not currently in the public domain.

Commenting Greg said:

"The fact that this contract has been taken from an organisation and staff which have proved such excellent service is extraordinary.

However, the way in which it has been handled in particular is a disgrace, to give no warning or notification that the contract had been awarded elsewhere has left the staff and the Council providing this service in limbo. I am calling for the National Audit Office to undertake an urgent review of this decision-making process.

It is astonishing that staff and Leeds City Council were never officially told that this contract had been taken away from them, and the purpose of the questions I have tabled in Parliament is to demand that this information be made public.

This is a real slap in the face for Leeds and it is another example creeping regionalisation, of the Government pushing its own agenda at the expense of hard-working and dedicated staff and locally accountable public service providers.

We need answers and we need them now."