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.'

LocalGov Weekly Round Up image

LocalGov Weekly Round Up

William Eichler, editor of LocalGov.co.uk, reflects on the stories that captured readers’ attention this week.
SIGN UP
For your free daily news bulletin
Highways jobs

School Crossing Patrol

Durham County Council
Grade 1 £4,106 (approx.) £12.85 per hour
Join our School Crossing Patrol Service! Are you punctual and reliable? Do you have good communication skills and a strong sense of community spirit? Durham
Recuriter: Durham County Council

Team Leaders

Durham County Council
Grade 8 £32,597 - £36,363
Team Leaders – Opportunities are available across the County Durham Area   Salary
Recuriter: Durham County Council

Residential Workers

Durham County Council
Grade 7 £30,024 - £33,699
Residential Workers - Opportunities are available across the County Durham Area Salary
Recuriter: Durham County Council

Sessional Lecturer ESOL

Durham County Council
Unqualified Teachers 1-6 - £22,601 - £35,259 pro rata to hours worked
Do you want to teach in a dynamic, highly developed ESOL Department? An opportunity has arisen for  TWO Sessional Lecturer positions on a casual basi Durham
Recuriter: Durham County Council

Advanced Social Work Practitioner

Wakefield Council
£51,356.00 - £54,495.00, Grade 12, 37 hours, Permanent
You will be expected and enabled to contribute to workforce development and staff wellbeing. Wakefield, West Yorkshire
Recuriter: Wakefield Council
Linkedin Banner