Report confirms 20,000 job relocation target

Last month saw the publication of an interim report on relocation of public sector jobs away from London and the south east.

The report, prepared for the Treasury by Sir Michael Lyons of the Institute of Local Government Studies, says an initial investigation of the issue suggests that Chancellor Gordon Brown's aim of relocating up to 20,000 jobs away from the capital could be achieved and even exceeded.

Brown announced the review in his Budget earlier this year when he also argued for public sector pay systems to be more responsive to regional labour markets.

The interim report sets out the main arguments for relocation and includes case studies of earlier examples of relocation.

PCS, the main civil service union, although concerned about any move to regional pay, is not opposed in principle to relocation.

A recent meeting of its national executive agreed to make it clear to the government that any relocation plans must take full account of: "the need to keep public services local; the importance of government jobs in providing employment for ethnic minorities; job security; and the need to fully consult with the union."

A final report from Lyons is due by the end of the year.

The interim report is available at www.hm-treasury.gov.uk/media//8A6F4/InterimReport _pubsec_reloc090903.pdf or contact