Title

BUSINESS

Taking the first steps towards re-imagining our services

Until recently, re-procurement of services was the default approach. 'Now we are seeing an increasing appetite for partial or complete insourcing of functions', says Sean Hanson.

As numerous long-term outsourcing arrangements with private sector partners will reach expiry over the coming years councils, government agencies and departments are considering their future sourcing options.

The upcoming expiry of many PFI contracts is one example of this.

Some councils are also reassessing the options regarding their long-term strategic partnerships covering services such as revenues and benefits, IT, planning and procurement.

Until quite recently, re-procurement of services was the default approach. Now we are seeing an increasing appetite for partial or complete insourcing of functions.

This shift is driven by a range of factors. Greater flexibility in service delivery, expectations of lower delivery costs or greater service quality feature prominently. Equally, local authorities are reappraising the benefits of having skills and capability under direct control in a time of profound change. Access to innovation or local skills is a further consideration for many.

We have seen that the organisations considering this change and bringing services in-house, whether partly or fully, need to think through the associated risks and challenges. It requires organisations to take a carefully considered, transformational approach to service planning and transition that looks intelligently at the overall impact on the organisation in terms of its systems, processes, technology and supply chain. Further complications accrue when some of the services under consideration are shared with other councils, or where private partners deliver services remotely.

Local Partnerships has been supporting councils to think through the implications of the various sourcing options across a wide range of sectors, from facilities' management to waste delivery to procurement services. We support local authorities in making informed decisions by helping to identify the options, working with stakeholders to obtain consensus as to the preferred way forward and subsequently help with planning and implementation of the new way of working.

By aligning our approach to wider best practice, especially the Cabinet Office's Sourcing Playbook which provides key policies and guidance for choosing the best model for delivering public services, we provide councils with a structured approach to help ensure that changes to services are designed to succeed.

@LP_SeanHanson

• localpartnerships.org.uk

• Sean.Hanson@localpartnerships.gov.uk

BUSINESS

How data and community voice are shaping Luton's climate future

By Leonie Taylor | 03 August 2026

Senior researcher Leonie Taylor shares her experiences of The Young Foundation’s work with Luton BC, mapping a fair path to net zero.

BUSINESS

EXCLUSIVE: Public rebuffed over reorganisation plans

By Paul Marinko | 30 July 2026

Ministers have gone against the public’s preferred reorganisation option in the majority of areas, The MJ can reveal.

BUSINESS

How Ealing made fair pay a driver of inclusive local growth

By Cllr Kamaljit Nagpal | 30 July 2026

Cllr Kamaljit Nagpal explains how Ealing LBC's leadership on fair pay created stronger employers and more resilient local economies.

BUSINESS

Climate policy that passes the Makerfield test

By Graham Duxbury | 30 July 2026

Climate action must drive good growth and lower living costs across every community, says Graham Duxbury.

Popular articles by Sean Hanson