Public Services (Ownership and User Involvement) Bill
Official Summary
A Bill to promote public ownership of public services; to introduce a presumption in favour of service provision by public sector and not-for-profit entities; and to put in place mechanisms to increase the accountability, transparency and public control of public services, including those operated by private companies.
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Overview
This bill aims to increase public ownership and control of public services in the UK. It introduces measures to promote public sector and not-for-profit provision, enhance transparency, and give the public more say in how services are delivered.
Description
The bill mandates consultation before outsourcing or privatizing public services (contracts over £50,000), requiring at least 28 days of public feedback on the proposal, and consideration of internal bids. It prioritizes contracts with public sector bodies, not-for-profit entities, and social enterprises. The bill also mandates break clauses in contracts (allowing for re-tendering without compensation if specified conditions are met), increased transparency regarding bids and contracts, and greater freedom of information access for companies providing public services.
Key aspects:
- Mandatory Consultation: Public consultation is required before outsourcing or privatizing services costing over £50,000.
- Prioritization of Public and Not-for-Profit Providers: The bill favors public sector, not-for-profit, and social enterprise bids.
- Break Clauses: Contracts must include a break clause allowing re-tendering without compensation if service quality falls below a defined threshold.
- Transparency and Accountability: Details of bids and contracts must be publicly available, and relevant companies are designated as public authorities under the Freedom of Information Act.
Government Spending
The bill will lead to government expenditure on implementing its provisions. The exact figure isn't specified but will cover the costs associated with consultation processes, regulation development, and administrative oversight. It may also indirectly impact spending depending on which providers are selected for contracts.
Groups Affected
- Public Sector Employees: Potentially benefits from increased job security and opportunities for internal bids.
- Not-for-profit and Social Enterprises: May benefit from increased contract opportunities.
- Private Companies: May face reduced opportunities to secure public service contracts. Increased transparency and accountability requirements.
- The Public: Increased opportunity for input into decisions about public service provision; more transparency and access to information regarding public contracts and service delivery.
- Regulatory Authorities: Increased responsibilities related to overseeing the bill's implementation.
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