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

Community Support Worker - Centralised Safeguarding Triage

Essex County Council
£25395.00 - £32131.00 per annum + + 26 Days Leave & Local Gov Pension
Community Support Worker - Centralised Safeguarding TriageFixed Term, Full Time£25,395 to £32,131 per annumLocation
Recuriter: Essex County Council

Senior Applications Developer

Essex County Council
Up to £500.0000 per day
Senior Applications Developer Contract
Recuriter: Essex County Council

Project Manager (Major and Strategic Development) - WMF2479e

Westmorland and Furness Council
£45,091 - £46,142
This is an exciting opportunity to work within the Thriving Places Directorate within the Sustainable Transport Team. Cumbria / Various
Recuriter: Westmorland and Furness Council

Residential Night Support Worker - WMF2480e

Westmorland and Furness Council
£34,434 - £35,412 pro rata
We’re looking for Waking Night Support Workers to join our dedicated team at 23 Hart Street. Ulverston, Cumbria
Recuriter: Westmorland and Furness Council

Commissioning Officer - WMF2482e

Westmorland and Furness Council
£38,220 - £39,152
Have you ever considered working in Commissioning? Cumbria / Various
Recuriter: Westmorland and Furness Council
Linkedin Banner