Austin Macauley 20 January 2016

Bournemouth reveals plan to bring outsourced services back in house

Bournemouth reveals plan to bring outsourced services back in house image

Bournemouth Council is set to bring a £14m outsourced contract to supply a range of back office functions back in house as it grapples with 'unprecedented financial challenges'.

The local authority is facing a 29.8% cut in its revenue support grant for next year and an additional 36.8% cut the year after.

The council currently has a contract with Kier for HR, finance, revenue and benefits, facilities management and IT.

Council leader John Beasley said the council had done well to deal with financial challenges to date but 'has no choice but to look further and deeper into its departmental budgets, to do all that it can to protect frontline services'.

He added: 'In this increasingly difficult financial environment, it is apparent that the council needs to control directly the annual £14m spend currently associated with the delivery of services within the Kier partnership contract, so that we can make further changes without the need for more complex contractual negotiations.

'Given the current financial position and the case for local government change in Dorset being developed, the council has chosen to fully review the provision of services within the Kier (formerly Mouchel) partnership contract. The result of this review is a recommendation to cabinet that, during 2016, the council brings all services delivered by Kier as part of the partnership, back in-house.'

Craig Apsey, Kier Business Services managing director explained: 'The partnership has been incredibly successful over the past five years, delivering over £10m in operational savings since 2010 (more than was expected or defined in the original contract), major service improvements, and helping to create over 175 new local jobs with an economic value of £13.4m. This is in addition to wider initiatives like the £4m invested in the Carbon Management Centre, reducing council emissions by 26% and the launch of a new Apprenticeship Company, which aims to support 125 apprenticeships by September 2016.

'However, the landscape for local authorities has changed substantially over the past five years, with severe and repeated government budget cuts, and radical cuts to the revenue support grant in parallel with the opportunity to form a new devolved combined authority. All of which means that the council may now need services to return to their direct control in order to navigate this change.

'The partnership was originally designed to provide this kind of flexibility to accommodate a changing landscape and client needs, and if the decision is agreed at cabinet next week we will work with the council to support our teams as they transition back to council employment, and will do all we can to maintain service levels and ensure a smooth and successful transfer of services.'

Cyber crisis management image

Cyber crisis management

Richard Stephenson outlines cybersecurity issues to be aware of during the pandemic and how to minimize risk.
For your free daily news bulletin
Highways jobs

Principal Flood Risk Officer

Lancashire County Council
We have an exciting opportunity for a Principal Floor Risk Officer Lancashire
Recuriter: Lancashire County Council

Duke of Edinburgh Youth Support Worker

Essex County Council
£14597.0 - £19106.0 per month
Please note this is a part time contract - annualised hours 106 per year. Therefore the actual salary range is from £995.44 up to £1049.79 per annum. England, Essex, Harlow
Recuriter: Essex County Council

Head of Internal Audit

Kent County Council
Up to £97,000 + benefits
We now have an exciting opportunity to strengthen and shape our Audit function, as... Maidstone, Kent
Recuriter: Kent County Council

Director of Children’s Services

St. Helens Metropolitan Borough Council
circa £120,000
This is an exceptional opportunity for someone who wants to make a real difference to the children, young people and families of our Borough. St Helens, Merseyside
Recuriter: St. Helens Metropolitan Borough Council

Assistant Director, Social Care & Public Health Commissioning

Bolton Metropolitan Borough Council
c£71,000 to £89,000 per annum
Reporting to the Director of Strategic Commissioning you will lead Commissioning in the context of a developing Integrated Care System.  Bolton, Greater Manchester
Recuriter: Bolton Metropolitan Borough Council

Public Property

Latest issue - Public Property News

This issue of Public Property examines how how flexible workspaces can lead the way in regeneration for local authorities, Why local authority intervention is key to successful urban regeneration schemes and if the Government’s challenge of embracing beauty is an opportunity for communities.

The March issue also takes a closer look at Blackburn with Darwen Council's first digital health hub to help people gain control over health and care services.

Register for your free digital issue