13 November 2007 | Antony Barton
A new buying consortium for Scottish councils has forecast annual savings of £2 million by 2011.
The Tayside Procurement Consortium, which draws together procurement for Angus, Dundee and Perth & Kinross councils, was launched last week.
Kevin Keenan, Dundee City Council administration leader, said the predicted savings are based on a combined expenditure on goods and services of about £250 million each year.
The consortium also hopes to improve organisational structures and develop buying skills and practices. This will eventually include the creation of a central procurement unit with staff from all three councils.
Councillor Ian Miller, leader of the administration at Perth & Kinross Council, said the consortium wants to foster good relations between local and national suppliers of all sizes.
He said in a statement: "We are particularly keen to make sure that we continue to treat small, local suppliers fairly as they remain important to all three Tayside councils. We have been talking to them about the procurement process to ensure that they have the opportunity to compete for business."
Initial areas of focus for procurement savings will be vehicles, IT, construction materials, furniture, catering and cleaning supplies.