Local Government Services are expected to benefit in 2003.
In this context, local government services are defined as services provided to the public by local authorities and local councils. Although 2003 is expected to be a year of relatively sluggish economic growth in the UK, many local government services, will benefit from the fact that they are considered important enough to warrant central government support, even during times of economic stringency.
(PRWEB) September 5, 2003
Research and Markets have announced the addition of the "Local Government Services Market Review 2003" report to their offering.
MARKET DEFINITION:
In this report, local government services are defined as services provided to the public by local authorities and local councils.
The following service sectors are analysed in detail - education services - social services - emergency and legal services : fire, police, emergency planning service, magistrates' court, etc. - housing - environmental services : waste collection and disposal, street cleaning, environmental health, parks and open spaces, cemeteries and crematoria, trading standards, planning and economic development, etc. - highways and transport : highways, roads, footpaths, parking, public transport, traffic and transport co-ordination - leisure services : sports centres, libraries, tourism, culture and heritage.
INDUSTRY STRUCTURE:
The services described in this report are supplied by the unitary authorities, which provide all the main council services in the large cities and some other areas, as well as the county and district councils, which share the provision of such services in other parts of the country. Some relatively minor services are also provided by parish, town and community councils. This is the structure that prevails in England, but a somewhat different structure applies in some other parts of the UK.
For each type of council, democratic control is exercised through elected councillors, officially known as 'members', who decide the councils' policies. Their decision-making powers are, however, severely constrained by laws passed by central government, and recent legislation provides for several alternative options for the composition of the executive — for instance, a directly-elected mayor and an appointed council manager.
The prime responsibilities of the county authorities are for the strategic planning of transport and housing needs, the protection of the environment, the provision of fire and rescue services, social services, and schools and libraries. Services requiring a more local focus are provided by district councils, where these still exist. Such services include household refuse collection, the provision of leisure facilities and rented social housing.
Unitary authorities, including the metropolitan districts, are generally responsible for the entire range of local authority-provided services. However, some services may be delivered by joint authorities across areas larger than the individual districts, while London is a special case.
Many local authorities operate what are effectively multimillion pound businesses, run by a management team of senior officers that is headed by a chief executive.
Services are delivered on the ground by the officers of the council, or through an increasing number of alternative mechanisms, ranging from a straightforward contracting out of the task to a private operator, to complex partnership arrangements with a number of public, voluntary and private sector organisations. In recent years, governments of all political complexions have increasingly stressed the 'enabling' role of councils. They do not necessarily have to undertake tasks using their own employees.
Indeed, central government administrations, both Conservative and Labour, have adopted an increasingly interventionist position in their relationships with local government, alternatively cajoling and threatening them to change their procedures in the interests of greater efficiency of operation. The compulsory competitive tendering (CCT) policies of the Conservative government have been replaced by initiatives such as Best Value, defined in the Local Government Act 1999 as a 'duty of continuous improvement in services to the public'; the Beacon Council Scheme; comprehensive performance assessment (CPA); public private partnerships (PPPs); and strategic partnerships.
Local authorities vary considerably in size, from the Greater London Authority (GLA) (with a population of 7.2 million) to the Isles of Scilly (with only 7,000 people). Local councils (i. e. town, parish and community councils) are much smaller.
MARKET SIZE:
Net current expenditure on local authority services is estimated to total around £77.35bn in current price terms in 2002, up 26.2% on the comparable 1998 figure. When adjusted for estimated changes in the unit costs of providing such services, the volume of output is estimated to have increased by around 7% over the same period.
VISION, MISSION, OBJECTIVES and STRATEGIES:
We has undertaken research into the mission statements and related formal and informal declarations of organisations engaged in the delivery of local government services, including the local authorities themselves and their contractors, agents and partners.
These statements follow a consistent pattern, with those made by local authorities stressing the need to address the concerns of people as citizens, with emphasis placed on phrases such as social well-being, community involvement and civic pride, good amenities, access to services, equality of opportunity, environmental conservation and sustainable development. On the other hand, statements by the commercial contractors stressed the importance to them of such matters as innovation, value for money, adding value, service quality and meeting the expectations of their clients.
COMPETITOR ANALYSIS:
In general, individual local authorities have a legal responsibility to serve the needs of residents in their own geographical area for certain defined services, and face restrictions on operating outside of that remit. Hence, they do not normally compete with each other in the delivery of local services.
Competition certainly exists between commercial firms, however, for the supply of services to local authorities on a contracted-out basis. Companies, such as Ecovert, have established a particular niche in the provision of refuse collection, waste management and street cleaning services. Others, such as Balfour Beatty, participate in a number of public-sector construction projects, including schools, police facilities and railway infrastructure.
SECTOR DEVELOPMENTS:
Education Services - Although government policy still retains a role for local education authorities (LEAs) in school education, it has encouraged them to delegate more of the school budget to schools themselves. Except in rare cases, they do not see it as the job of the LEA to run or intervene in schools, or seek to provide directly all education services in their areas. Several themes in rounds four, five and six of the Beacon Council Scheme relate to the relationships between LEAs and schools. Among other things, LEAs are encouraged to create a more diverse system, where every school is able to develop a distinct mission and ethos. LEAs are also perceived as having a key role in developing local strategies to help schools address issues such as teacher recruitment and retention.
Social Services - Local authority social services departments have moved away from providing a standardised service, which was heavily dependent on residential care. Instead, the focus is on one that promotes independence and social inclusion, achieved by locating services in the community or in the home, based on an assessment of individual needs. The favoured approach also stresses the need for partnerships and joint working practices between different agencies and departments.
The selection of Beacon Council Scheme themes illustrates the importance of this approach to central government. For example, the children and adolescent mental health services theme is a cross-cutting theme that seeks to promote joint working across social services, health and education. Meanwhile, the services for older people theme stresses the importance of partnerships working through co-operative relationships across the different organisations that already provide services to pensioners.
Emergency and Legal Services - The extent to which the Bain Report review of the fire service will be implemented is still unclear. Highlighting some of the practices prevalent in the service is likely to occur, with some changes being inevitable.
The Police service is also due for further reform. The Police Reform Act 2002 contains several features that delegate certain functions (which are, at present, carried out by police officers) to various categories of support staff, in order to free up officers for front-line duties. These new categories of staff would include community support officers, investigating officers, detention officers and escort officers, who would assist in tackling low-level crime and anti-social behaviour. Neighbourhood and street wardens would also be accredited as members of the 'extended police family'.
Housing - Several central government policy objectives have a particular impact on local authority housing strategies. This is particularly the case for those concerned with the need to increase the supply of affordable housing, to promote neighbourhood-based housing management and bring about closer working relationships between housing, health and social services departments.
Housing also figures prominently as a component in many Beacon Council Scheme themes, the objective being to raise standards of excellence, especially in the provision of support and housing for the homeless.
Environmental Services - The Government's National Waste Strategy has set a target for the recycling or composting of 30% of household waste by 2010. This has been translated into a requirement for local authorities to achieve certain performance standards by 2005/2006. These imply at least a doubling of their recycling/composting rates when compared with what was achieved in 1998/1999. If they wish to receive Private Finance Initiative (PFI) funding for waste projects, local authorities will, in future, have to show a clear link between such schemes and the objectives of the Government's 'Waste Strategy 2000', by demonstrating that recycling and composting lie at the heart of proposed schemes.
Important changes are soon to be introduced to the planning system in England and Wales, with the implementation of the Planning and Compulsory Purchase Act. County structure plans, local plans and unitary development plans will be abolished and replaced by a new single plan, this being the local development framework (LDF).
Highways and Transport - The Government's 10-year plan for transport spending gives power to local authorities in England and Wales, so they can play their part in delivering a programme of investment that is aimed at improving the transport infrastructure in line with 'sustainable' policies (as set out in the Transport Act 2000). In particular, local authorities are required to achieve a number of objectives, the most important of which are to develop local transport plans, outlining proposals to improve local transport, to promote integrated transport networks, to address congestion and to introduce public transport initiatives linked to 'park-and-ride' alternatives or new 'metro', tramway or bus systems.
Leisure Services - The provision of sports and leisure facilities is one field where the PFI has achieved some success, with the implementation of a design, build, finance and operate (DBFO) contract for a Merseyside leisure centre, based on a partnership between Sefton Metropolitan Borough Council and Waterfront Leisure Crosby Ltd. Local authorities have been encouraged to develop local cultural strategies for their areas. These strategies will be taken into account as an element in the cultural services Best Value performance indicators. There are also several leisure-related Beacon Council Scheme themes, where best practice will be shared by respective Beacon Councils through a series of learning events and activities.
THE FUTURE:
Many of the policies of the Labour government in early 2003 depend on their successful implementation of services delivered either by, or on behalf of, local authorities, especially in the fields of education, social services, housing and waste management. In effect, these authorities will continue to be subject to central government scrutiny and control, even if only because of the power exercised by central government in its role as provider of grant support and other funding for locally-delivered services.
The systems put in place to encourage local authorities to become more efficient and responsive to the needs of their communities, and the terminology used to describe them, will probably change by 2008. It is unlikely, though, that pressures — as are currently exerted through initiatives such as Best Value, Beacon Councils, comprehensive performance assessment and strategic partnerships — will ease. The PFI is also seen as an important vehicle through which investment in public services can be channelled. Between now and 2005/2006 (the period covered by the Government's Spending Review 2002), it is planned to provide around £7bn of local government PFI funding, compared with £4bn over the period covered by the previous spending review.
Although 2003 is expected to be a year of relatively sluggish economic growth in the UK, views differ as to the likely strength and duration of any slowdown. Many local government services, however, will benefit from the fact that they are considered important enough to warrant central government support, even during times of economic stringency.
For a complete index of this report click on http://www. researchandmarkets. com/reports/35161 (http://www. researchandmarkets. com/reports/35161)
REPORT DATA SUMMARY:
Local Government Services Market Review 2003
Category: Government
URL: www. researchandmarkets. com/reports/35161 (http://www. researchandmarkets. com/reports/35161 )
About Research and Markets Ltd.
Research and Markets Ltd. are Europe's largest resource for market research. R&M distribute thousands of major research publications from the world's leading publishers, consultants and market analysts. R&M provide you with the latest forecasts on international and regional markets, key industries, the top companies, new products and the latest market trends.
For additional information on ResearchandMarkets. com, their range of reports or their value-added services, visit their web site at http://www. researchandmarkets. com (http://www. researchandmarkets. com) or mailto:press@researchandmarkets. com
END PRESS RELEASE -
