Mark Whitehead 08 January 2019

Exclusive: Councils increase number of deals with SMEs and social enterprises

Councils are increasingly forging deals with smaller companies rather than big outsourcing contractors, according to the latest figures.

A report on public spending by market analysts Tussell in the wake of the collapse of construction giant Carillion shows five of local government's top 20 regular suppliers in 2018 were SMEs or social enterprises.

The amount of work being contracted out to the 20 biggest firms now stands at 25% of the total spent, after steadily declining since 2015 when it accounted for 30%.

Housing and leisure specialists Places for People has leapt to the top of the rankings for volume of local government spend after signing a joint venture with Surrey County Council worth £1.5bn over 15 years.

It is followed by Wates Group with £834m of spend and the French global construction firm Vinci SA which signed deals worth £214m.

Tussell's founder, Gus Tugendhat, said local government procurement was 'clearly moving in the right direction'.

He said: 'The proportion of value awarded to the top suppliers has been declining year-on-year, and it is great to see SMEs and social enterprises now making up a fifth of the top 20 suppliers to local government.

'We are hoping to work closely with local government buyers in 2019 to continue monitoring their progress towards social value goals in procurement, and to improve the quality of contracting data being published.'

SIGN UP
For your free daily news bulletin
Highways jobs

Procurement Manager

West Northamptonshire Council
£49587 - £52860
At West Northamptonshire Council, we’re looking for an experienced Procurement Manager to play a pivotal role in the delivery of high quality, value for money services. This is an exciting opportunity to join our forward-thinking central procurement an Northampton
Recuriter: West Northamptonshire Council

Revenues Manager

West Northamptonshire Council
£65098 - £71353
We’re looking for a Revenues Manager to lead our Council Tax and Business Rates service, ensuring high-quality delivery, compliance with legislation, and a strong focus on customer experience. In this role, you’ll lead the strategic direction of Coun Northampton
Recuriter: West Northamptonshire Council

Licensing Manager

Fenland District Council
Hay 1 £55,642 - £59,256
We are seeking a highly skilled and influential Strategic Lead for Licensing Services Cambridgeshire
Recuriter: Fenland District Council

Street Cleansing Team Leader

Royal Borough of Greenwich
£40,547 - £41,870 (includes additional allowances)
Street Services - improving residents’ lives Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Practice Development Lead

Royal Borough of Greenwich
PO5 - £52,194 to £55,323
Are you ready to shape the future of Adult Social Care in Royal Greenwich? Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich
Linkedin Banner