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Enhancing Public Sector Procurement: Insights and Recommendations from the Mark Luntley Review

In 2008, a comprehensive review of public sector procurement was conducted, led by Bill Roots and commissioned by John Healey. This assessment highlighted significant inefficiencies and aimed for a 60% improvement through smarter procurement practices. Key findings included a fragmented procurement landscape, skills shortages in some authorities, and the need for stronger leadership and support structures. Recommendations focus on establishing a national procurement champion, enhancing collaboration across sectors, and improving practices to engage small suppliers.

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Enhancing Public Sector Procurement: Insights and Recommendations from the Mark Luntley Review

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  1. Roots procurement review Mark Luntley – Finance Programme Manager

  2. Background • CSR 2007 efficiency expectations • 60% from smarter procurement • John Healey commissioned a review of the area (2008) • Chaired by Bill Roots – Nov 2008 • Review: • Assessment of existing support • Recommendations for improvement

  3. Procurement pattern • £42bn on contracts of which: • £12bn on commodities, goods & services • £13bn on construction • £6bn adult social care • £3bn waste services

  4. Key points from interviews • Lack of skills in some authorities • Fragmented landscape • Early days for REIPS • Several excellent consortia - formal and informal

  5. Recommendations • Leadership • Procurement support • Funding • Information • Sharing good practice • Actions for other organisations

  6. Leadership • A national procurement champion • Focussed on major spending • Liaison with Government • LGA improvement Board takes a lead

  7. Procurement support • REIPs to lead • Each REIP • Work plan, budget and outcomes defined • Annual report of progress • CLG/Treasury support work in next spending review

  8. Work • IDEA/4Ps work programme (model contracts etc) • Buying organisations to work together and share good practice • Database on contracts • Better engagement across sector (including 3rd sector) • Remove barriers for smaller suppliers

  9. Other • Each authority formally reviews its procurement practices • Build into VFM assessment in Use of Resources • Annual reporting through REIPs • Bring in the private sector for further ideas

  10. Since then • Broad agreement from LGA • Working up response – dealing with how to best implement • Link to other initiatives • Treasury operational efficiency • Joint LGA/CBI work

  11. Mark Luntley mark.luntley@lga.gov.uk

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