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8 January 2011 | Angeline Albert
Kent County Council and Hull City Council hope to save a total of £12.5 million through procurement improvements.
The Kent authority expects to save £11 million through better purchasing as part of budget proposals to deliver £95 million savings in 2011/12 financial year. Procurement savings for the next financial year include £900,000 in home care and £550,000 on transport.
Leader of Kent County Council Paul Carter, said: “We will achieve [efficiency savings] by doing and buying things differently.”
Kent’s budget proposal document said the local authority would “create efficiency savings through more effective commissioning and procurement, eradicating duplication, ceasing non-essential expenditure and delivering a lean organisation which continues to work effectively and as one organisation”.
Meanwhile, Hull City Council hopes to make £1.5 million savings by carrying out a strategic review of its procurement. The local authority published budget proposals to save £50 million in 2011-12 and launched a public consultation on its plans.
The proposals said a procurement review will analyse “all … spend on non-pay related items in order to identify specific opportunities to procure goods and services at a better price without damaging our ability to function”.
The council also proposed improved purchasing of schools transport.
“Over the past few years, the council has saved a lot of money through better commissioning and procurement, but we recognise the need to improve our contract management. Our expectation is that in future all services, be they in-sourced or out-sourced, will have a clear contract – stating exactly what we expect to get for our money,” the consultation document said.