Laura Sharman 17 June 2014

Public concerned outsourcing providers are ‘cutting corners’

Commissioners are failing to ensure ethical standards are upheld in outsourced public services, according to a new report published today.

The research, published by the Committee on Standards in Public Life, found that while the public felt it was imperative that ethical standards should be maintained in any outsourcing contract, concerns remain that providers would “cut corners” to save money or achieve payment by results targets.

Lord Bew, chair of the Committee, said: ‘It is clear that the public want all providers of public services to adhere to and operate by common ethical standards, regardless of whether those providers come from the private, public or voluntary sectors. For the public “how” things are done is as important as “what” is done.

‘The government has made clear that the Seven Principles first set down by Lord Nolan - honesty, integrity, accountability, leadership, openness, selflessness and objectivity - should apply to all those delivering services to the public.’

The report calls for ethical standards must be formalised into the contracts and monitoring arrangements for companies and charities delivering outsourced public services. Jim Bligh, head of public services at the Confederation of British Industry (CBI) said:

‘The Committee's investigation is a welcome, up to date assessment of what the public expect from their public services, which the CBI is delighted to support.’

Figures releases last month showed outsourcing in local government has increased by 60%.

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