Transformation Consultancy Spend Rises as Councils Get Creative

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Porge’s Illuminator public sector spend analysis system has revealed that spend on management and transformation-related consultancy services by councils in England increased by over 25% in 2018/19, as local authorities continue to seek out new and innovative ways to meet their well-documented financial challenges.

The funding issues being faced by local authorities need little introduction. Back in May, the BBC reported that some councils were risking running out of cash reserves, whilst a more recent statement by the Chair of the Housing, Communities and Local Government Committee perhaps best summed up the reality of the situation by saying “there is a disconnect between the services taxpayers expect their local authorities to provide and the level of service possible under current Government funding”. Despite the fact that people expect councils to provide well-maintained roads, regular refuse collections and cultural services, “funding rarely stretches beyond meeting the urgent needs of social care services”.

All of this has left councils looking at ways in which they can change and adapt internally to try to cope with these pressures. Although the approaches to transformation are as varied as the challenges faced by the individual authorities, common themes emerging from meeting papers researched by Porge tend to be the need for councils to become more streamlined, agile and resilient organisations in order to be able to continue to provide the sorts of services expected by their residents.

In light of the above, the rise in spend with organisations such as PwC, Atkins and IMPOWER on management and transformation consultancy services is perhaps not hugely surprising, although the 25% rise seen in 2018/19 is by far the biggest increase in the amount spent on these types of services since Illuminator’s records began.

As local authorities continue to re-think the way they operate, accurate insight has become increasingly important in helping councils to identify opportunities for improvement and to support strategic commissioning decisions. Porge’s Illuminator and Collaborator products are therefore helping more public sector decision makers than ever before – book your demo today to see how they could help you.

by Martin Holmes

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