mutuals and public service delivery
DESCRIPTION
The presentation was from the Business as Mutual conference held at Anglia Ruskin University on 12th September 2012. To find out more visit www.businessasmutual.co.ukTRANSCRIPT
Mutuals and Public Service Delivery
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Public Service Mutuals: the national context
Matt Hudson, Cabinet Office
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National policy context: The Coalition programme for Government made a clear commitment to open public services to a variety of providers, including mutuals.
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How do we define a public service
mutual?
How do we define a public service
mutual?
The Government defines a public service mutuals as:An organisation that has spun out of the public sector, and…continues to deliver public servicesand… involves a high degree of employee control.
When considering public service mutuals there are a wide variety of types of provider and hence of business model. These can include for-profits, not-for-profits, charities, social enterprises, community interest companies.
The Policy ContextThe Policy Context
The Open Public Services White paper makes a clear commitment to increase diversity of provision to help support the Governments key strategic objectives: greater value for money; better, more innovative services and transferring power from the State to the individual:
The Localism Act shifts power from central government back into the hands of individuals, communities and councils.
It creates a new set of rights for communities. These rights will put community, voluntary and charity groups - including public sector employees - first in line when it comes to running public services
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Public service mutuals can deliver multiple benefits
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Public Service Mutual – evidence demonstrates that greater employee ownership
and control drives:
• Increased productivity
• Increased motivation
• Increased innovation
• Increased employee wellbeing
Productivity in mutuals tends to be higher. For example, Central Surrey Health made 41% productivity gains – creating 76 more treatment slots
for patients per week
Employee influence on decision-making and innovation can have a significant impact on performance. For example, staff in Swindon took it
upon themselves to make others aware of the cost of equipment – putting price labels on everything in the stock cupboard
Employee wellbeing tends to be higher in mutuals. Absenteeism is often lower, for example Sandwell Community Caring Trust saw absenteeism
fall from 22% to less than 1% over a 10 year period
In Central Surrey Health 98% of co-owners say they go beyond what is normally required. The industry norm is 84%
“The case for public service mutuals is a simple one. Mutualisation can transform the delivery of public services. Mutuals can deliver substantial benefits to a wide range of public service stakeholders: service users; service commissioners; service employees; and, the communities they serve.” The Mutuals Taskforce (independent)*
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A growing number of mutuals are being created across the country – with a wide geographical spread
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Map of Geographical Spread of Established Public Service Mutuals
2010-2012
The map provides an indication of the geographical location of these projects
We are continuing to build our understanding of ongoing and completed
projects across the public sector. We published an emerging pipeline of
projected on 25th June
Established mutuals in England, 2010
Established mutuals in England, 2012
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Mutuals are becoming established and being developed in an increasingly wide range of sectors and service areas
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A healthy pipeline of mutuals is being developed – both across the country and across a wide range of sectors and service areas
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Map of Geographical Spread of Enquiries to the Mutuals Information Service
Enquiries to the Mutuals Information Service by Service Area
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Support is being provided for emerging and established mutuals. The Mutuals Support Programme has 3 elements:
We’ve seen over 700 people every week accessing information from our website and 91 organisations have accessed the one-to-one support provided by the Mutuals Information Service
Mutuals Information
Service: online resource
Mutuals Information
Service: Hotline
Mutuals Support Programme: Professional
support services
Managed by Cabinet Office, this will provide initial information, generic advice on key issues , case studies, opportunities for peer support and
knowledge sharing. http://mutuals.cabinetoffice.gov.uk
Delivered by a consortium of industry experts, led by PA Consulting, the hotline will provide information, sign-posting and case management for existing or potential Mutuals, and refer cases for support to the Mutuals
Support Programme 0845 5390 543
Taking referrals from the Mutuals Information Service, the Cabinet Office will contract for professional services (e.g. tax, legal, HR or business
advice) to assist fledgling mutuals with the greatest promise http://mutuals.cabinetoffice.gov.uk
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To encourage the creation of new mutuals in local authority services we aim to:
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• Through LA networks, events and partner organisations
• Series of regional ‘roadshows’Raise awareness
Cabinet Office is keen to hear directly from local authorities - employees, commissioners, senior decision makers, elected members – interested in exploring these opportunities Please contact us directly at: [email protected]
• Identify and engage with interested local authorities
• Establish collaborative peer to peer LA networks
Engage and facilitate collaboration
• New information, advice and guidance for commissioners
• Establish a LA Mutuals Development Group to guide the agenda
Supportcommissioners