Privatise to survive councils advised
Author: UKAuthorITy.com |
Councils – rather than Whitehall – should commission new partnerships, argues a new report. These should focus on mutual interests along with pre-determined meaningful outcomes – which can be achieved through the use of fluid budgets.
This should allow services to be ‘more personalised around the requirements of the end use’, states the report, ‘The Bottom Line – a vision for local government’, from think tank, Localis, and KPMG.
Councils are advised to reassess their priorities against cost and innovate if they are to achieve much needed expenditure reductions of around 20% by 2011.
‘Local authorities are urged to look long and hard at the services they provide and find new ways of managing them if they are to cut costs,’ states the report.
Many services, such as libraries and swimming pools, are ‘costly and could be run more effectively by the private and third sectors’.
In order to achieve the necessary efficiency savings, councils should consider seriously moving beyond their current role as ‘service providers’ towards becoming ‘commissioning and procurement hubs’.
James Morris, chief executive of Localis, said, “Councils must not be afraid to make tough decisions. Some are beginning to lead the way and it is up to others to take up the challenge and prioritise funding to match up with their core functions. Councils must innovate more in order to deliver high quality services to local residents.”