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

Adults Social Worker - South Essex (Expression of Interest)

Essex County Council
£36124 - £51834 per annum + Flexible Working, Hybrid
Register your interest here to be notified of upcoming Social Worker opportunities within Essex County Council's Adult Social Care services in South England, Essex, Basildon
Recuriter: Essex County Council

Executive Director Adult Social Care and Health (DASS)

West Surrey Council
£161,239 - £177,363 plus benefits
This is not a maintenance role. It is a transformation leadership opportunity
Recuriter: West Surrey Council

Workshop Fitter

Durham County Council
£33,673 - £37,563
Are you qualified in vehicle or machinery maintenance and ready for a new opportunity? Fleet Services in Environment are looking for 2 Workshop Fitte Durham
Recuriter: Durham County Council

2 x Health Care and Education Assistant

Durham County Council
£25,614- £26,016 pro rata
2 x Health Care & Education Assistant Temporary contract until August 2027, with the potential to extend, subject to funding Part Time- 10 hours per w Spennymoor
Recuriter: Durham County Council

Health Care and Education Assistant

Durham County Council
£25,614 - £26,016 (Pro Rata)
Temporary Contract until August 2027 with the potential to extend, subject to funding. Part Time- 34 hours per week- 8
Recuriter: Durham County Council
Linkedin Banner