Below is the text of Mr Major’s written Parliamentary Answer on Executive Agencies on 1st February 1989.
Mr. Hayward To ask the Chancellor of the Exchequer whether the provisions of the Government Trading Funds Act 1973 will be applied to next steps executive agencies.
Mr. Major Trading funds can already be created for agencies which meet the requirements in the Government Trading Funds Act 1973. However, some bodies including those which are directed by statute to provide a service and where the fees are fixed by regulation, are at present outside the scope of the 1973 Act. Some agencies which are at present outside its scope would be able to operate more efficiently under the more commercial regime. We therefore propose to bring forward legislation at the earliest opportunity so that trading or agency funds will be available in such cases. This change would add significantly to the range of financial regimes available to agencies and make a significant contribution to the implementation of the Government’s next steps policy.