Shake up of procurement mean ’Crown Representatives’ will ensure state signs only one contract with major building firms
Government departments will not be able to sign different contracts with the same supplier, the Cabinet Office has announced.
As part of Francis Maude’s money saving shake-up of procurement, ’Crown Representatives’ will make sure the government acts as a single customer to its providers - including major construction firms.
Maude, minister for the Cabinet Office, said: “The value of a single representative, acting on behalf of all departments, became apparent during the contract renegotiations. It brought benefits for both sides - bringing a complete picture of a supplier’s portfolio of contracts to the discussions and able to identifying opportunities for synergy and cost removal.”
Maude also confirmed that the government had cut £800m off contracts with its major suppliers, as reported last November.
These suppliers include: Amey, Atkins, Balfour Beatty, Capita, Carillion, Interserve, MITIE, Serco.