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

Transformation project manager (children, education & families)

Oxfordshire County Council
£46142 - £49282
About you Are you skilled at bringing people together? Are you passionate about improving outcomes for children and young people? We’re looking for an experienced Project Manager to drive delivery of our new Education & Inclusion Strategy in partnershi County Hall as primary office base, with hybrid wo
Recuriter: Oxfordshire County Council

Pensions Officer – Payroll, Payments and Projects

London Borough of Richmond upon Thames and London Borough of Wandsworth
£37,602- £45,564 per year (starting salary depen
Job Title
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Child Practitioner - Kinship Matters Support Worker

Oxfordshire County Council
£38220 - £40777
About UsTheKinshipMatte... Oxfordshire
Recuriter: Oxfordshire County Council

Advanced Skills Worker

Essex County Council
£31931.00 - £36423.00 per annum
Advanced Skills WorkerPermanent, Full Time£31,931 to £36,423 per annumLocation
Recuriter: Essex County Council

Social Worker - Assessment & Intervention, West Essex

Essex County Council
£37185 - £50081 per annum
This is a fixed term contract or secondment opportunity for 6 months.Here in Essex, we continue to raise the bar about practice and our investment in England, Essex, Harlow
Recuriter: Essex County Council
Linkedin Banner