Laura Sharman 29 January 2014

Councils paying over the odds for IT equipment, survey finds

Councils are paying more than three times the industry standard for IT equipment, according to a new benchmarking survey.

The survey, from Mercato Solutions, found that the average margin on purchases by councils was 12%, compared to the recommended margin of 3%. The largest margin for a single IT purchase was 327%.

However, there has been some improvement since last year, when local authorities were paying 29% higher.

Mercato’s head of benchmarking, Al Nagar, said: ‘The latest results show that councils have clearly taken significant steps to halve the margins they pay to secure better value on IT product purchases. However, in a sector of public scrutiny where every penny counts, margins of 12% are still well adrift of 3% best practice.

‘Without validated comparative data, buyers are struggling to achieve a 3% margin. Data is the key and with access to up-to-date information, procurers can gather the knowledge they need to negotiate better deals with IT suppliers and get more from their IT budgets in 2014.’

SIGN UP
For your free daily news bulletin
Highways jobs

Director of Adult Social Services

Blackpool Council
Up to £135,000
Blackpool is a town with pride, ambition and a powerful sense of place. Blackpool, Lancashire
Recuriter: Blackpool Council

Head of Service, Quality & Performance

Lancashire County Council
£77,833 - £85,119 per annum
We’re looking for leaders who are collaborative, innovative and committed to improving outcomes for Lancashire’s residents. Lancashire
Recuriter: Lancashire County Council

Head of Service, Operations

Lancashire County Council
£77,833 - £85,119 per annum
We’re looking for leaders who are collaborative, innovative and committed to improving outcomes for Lancashire’s residents. Lancashire
Recuriter: Lancashire County Council

Service Directors

Plymouth City Council
£87,744 - £121,996
Plymouth is on the brink of something extraordinary. Plymouth, Devon
Recuriter: Plymouth City Council

Service Directors

Plymouth City Council
£87,744 - £121,996
Plymouth is on the brink of something extraordinary. Plymouth, Devon
Recuriter: Plymouth City Council
Linkedin Banner