previous United Bermuda Party administration "lined their pockets'' when they rented buildings to Government.

The angry exchanges came in the House of Assembly as Works and Engineering Minister Alex Scott announced a new strategy where Government would move progressively towards owning rather than renting buildings.

Proposing the $2.6 million purchase of land at Church and Court streets, for office space Mr. Scott said the move towards ownership rather than renting would save the taxpayer $21 million during the next ten years if it was implemented.

If the policy was effective, it would save Government $2.8 million in leasing and maintenance costs for properties in Hamilton during 18 months.

Mr. Scott said the 25,000-square-foot development will be for office space for Government, the first in a series of buildings which will form an administrative precinct.

Mr. Scott said: "This is a little different than just the purchase of a property because this is a departure from the policy of the UBP.'' He said Government was moving towards owning rather than leasing or renting properties if the deal was right so that it could save money in the long run.

Government intends to free up office space by moving documents which are no-longer active -- after two or three years -- to an archive depot as part of plans to decentralise Government operations.

Some things such as community policing, the Junior Library and the Audit Department should remain in Hamilton, he said, but Telecommunications, Labour and Training, and Taxation do not need to be centralised and could be moved to Southside in St. David's.

"People ask where their tax dollars go, and this is a cost effective use of fiscal resources,'' he said.

Gov't moves to own not rent Telecommunications Minister Renee Webb said Government had inherited "exorbitant'' rents which could have been ploughed in to buy buildings several times over. She said her department paid $253,000 a year in rent.

"It's been there for ten years and we could have bought that building a couple of times over with that rent,'' Ms Webb said.

Holding a list of all the buildings Government rents out and the landlords, she said to UBP members: "Don't let me start reading off all the names. I don't want to embarrass your party.'' Shadow Minister of Legislative Affairs John Barritt said the intention appeared laudable, but there had to be a willing vendor and a fair price paid.

When he added that the UBP Government had bought property when there was a willing vendor and a fair price, Ms Webb waved the rental list.

He said: "The implication is that the previous Government was supporting its friends, allowing them to line their pockets. That's half the story.'' He said there were civil service rules which obliged them to get a proper valuation and a reasonable price so that "no one is making more than they should because of any connection with the previous Government of the day''.

"If there was something corrupt or someone being over-paid, that ought to be exposed in this House, in the newspapers and anywhere else because I don't know anyone in this side of the House who would want to be associated with that,'' he said.

He said while the UBP supported the purchase of the property at Church Street and Court Street from Church Court Ltd and the Hamilton Equity Association Ltd, it urged Government not to get its "feet in concrete'' by insisting on ownership "come hell or high water''.

Shadow Minister of Development Opportunity and Government Services Allan Marshall said if Government did not pay rent, it would take money out of the economy that could go to Bermudian landlords. He rejected Government suggestions it would "hurt Front Street''.

Opposition Leader Pamela Gordon urged caution about always going for purchase rather than rental because it contradicted Government policy of shrinking public service.