public values

Maximising social value to build back better

Despite initial talk of a “bounce-back”, with Covid-19 we now face unprecedented economic and social crises. Economic recovery looks set to be a long and painful process, characterised by business failure, huge levels of unemployment and social hardship. In CLES’ policy provocation, Restoring public values: the role of public procurement, we explore the role for public values in public procurement in the light of Covid-19 and proposes a way forward that considers how the spending of public money can be harnessed to maximise its social value and deliver greater social, economic and environmental justice.

Whilst there is now talk of a UK national stimulus package, we must also redouble our efforts to ensure that every single pound of existing and new UK public money is used wisely and well. Public money should flow through our economy to maximise social value in the form of Jobs, opportunities for local enterprises, and advancing zero carbon objectives.

  • Social Value is not enough – It’s time to restore Public Values

    Last week the government launched a series of new initiatives around ‘Social Value’, a much vaunted policy agenda which started with the passage of the Social Value Act in 2012. Cabinet Office Minister David Lidington has announced that by summer 2019, government procurements will be required to take social and economic benefits into account in certain priority areas, as well as new transparency rules for those bidding for public contracts.

    The government’s attempt to get businesses to consider their social impact can be understood as an acknowledgement that something has gone awry in the state of commissioning public services. The dramatic collapse of outsourcing giant Carillion in January 2018 has prompted a new wave of governmental thinking about how goods and services are purchased. With public opinion increasingly moving against poor provision of public services (most noticeably the much criticised railway system), this extension of the Social Value Act represents the government’s response.

    Birmingham prison: the neglect of public values

    The blistering words of Peter Clarke, Chief Inspector of Prisons, about the appalling state of Birmingham Prison ring in the ears – drugs, violence, fear and filth. Accurate parallels have been drawn with the squalor of eighteenth century prisons. While many have pointed to staggering challenges facing Birmingham this is not a unique case.

    Commentators have variously blamed the shortcomings of G4S, a failing policy of privatisation, a decade of unrelenting austerity (with cuts of over 40% to prison budgets) leading to systemic failures in the criminal justice system which is now on its knees. Underlying all of these is something more insidious and deeply pernicious: an abject absence of the values which should imbue public services, including human dignity, equality and allocation of resources to ensure that everyone is able to access public goods (such as security, housing, healthcare) regardless of their own, private means.