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

A pivotal week for councils sees fresh devolution plans, new service pilots and key legal and political battles, writes LocalGov editor William Eichler.
SIGN UP
For your free daily news bulletin
Highways jobs

Team Leader LGV Driver (Seasonal)

Wakefield Council
£21,448.50 - £23,652.75, Grade 6, 27.75 hours, Permanent
This is a full-time post of 37 hours per week (Tuesday to Friday - March - November) Wakefield, West Yorkshire
Recuriter: Wakefield Council

Planning Ecologist

Wakefield Council
Grade 6 - Grade 8, 37 hours, Permanent
Wakefield Council has an exciting opportunity for an ecologist to joint our friendly, professional Planning Policy and Environment team Wakefield, West Yorkshire
Recuriter: Wakefield Council

Prestige Gardener

Wakefield Council
£28,598.00 - £31,537.00, Grade 6, 37 hours, Temporary
An opportunity exists in the Council’s Street Scene Services for a Prestige Gardener Wakefield, West Yorkshire
Recuriter: Wakefield Council

Planning Policy Lead

Ribble Valley Borough Council
PO5-8 (scp 35-38) £46,142 to £49,282 per annum
We are looking for a qualified planning professional with full RTPI membership and substantial knowledge Clitheroe, Lancashire
Recuriter: Ribble Valley Borough Council

Senior Occupational Therapist (Front Door Team)

The Royal Borough of Windsor & Maidenhead
£46,498 - £50,947 per annum
We have an exciting opportunity for a Senior Occupational Therapist to join us! Maidenhead, Berkshire
Recuriter: The Royal Borough of Windsor & Maidenhead
Linkedin Banner