William Eichler 07 March 2018

Manchester CC ‘dramatically’ increases spend in local economy

Manchester City Council has increased the amount it spends in the city’s economy by around 20% in the last 10 years, new figures reveal.

A study by the Centre for Local Economic Strategies (CLES) published on Monday found the proportion of spend with Manchester based organisations has increased from 51% in 2008/09 to 71.7% in 2016/17.

In monetary, terms this is an increase in spend of £132m.

In total, the CLES’s findings reveal, the council spent £446m with its top 300 suppliers in financial year 2016/17.

The proportion of procurement spend with SMEs was 59.4% in 2016/17, up from 46.6% in 2014/15.

‘At a time when local government budgets are shrinking, reducing the impact of how we as a council can stimulate the economy, these new figures are really encouraging, and are testament to the collaborative work between Manchester City Council and CLES,’ said Carl Ollerhead, Labour councillor for Moston who chairs the city council’s Ethical Procurement Sub Group.

‘We are committed to continually enhancing our social value policy to help more of our resident share in the success of the City.’

Matthew Jackson, deputy chief executive of the Centre for Local Economic Strategies, commented: ‘CLES has been pleased to work collaboratively with Manchester City Council over the last ten years to progress their procurement process.

‘Our objectives have always been to understand where procurement spend goes, shift the behaviour of procurement officers and influence the supply chain; all for the benefit of the Manchester economy and its residents.

‘We are delighted to see the change which a more progressive approach has enabled in local economic, social and environmental terms.’

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