Council back-tracks on Serco contract worth millions of £’s

Serco in Peterborough
Cllr David Seaton (Tory), who is standing down in May 2020, celebrating PCC’s 5th anniversary with SERCO in 2015!

Under a 10 year contract started on November 28, 2011, Serco took on the responsibility for a range of frontline and back-office services for Peterborough City Council (PCC), including customer services, business services, HR and payroll, shared transactional services, ICT, procurement and business transformation.

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So what’s happened now?

The contract for Serco to deliver IT services to Peterborough City Council, is due to come to an end in September 2020.

The Tory controlled City Council have now announced they will NOT be renewing it and instead will be moving IT services back to the local authority when the contract ends.

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It seems strange, when ….

At the end of 2018, SERCO announced they’d agreed a 10 year contract extension with PCC, worth £105,000,000, to continue providing Customer Services, Business Support Services, Shared Transactional Services (including Revenues and Benefits), Transactional HR and Payroll, Procurement and Business Transformation services until 2031!

  • In the press release, SERCO boasted they’d “delivered £10m of savings to the Council.”

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What does Darren think?

Anyone with any common sense, has long since come to the view that handing over council services, is a shite idea.

Despite all the spin, press releases, self created awards ceremonies to give the impression the concept works, most people in Peterborough are fed up.

They realise, such actions by the Tories at the Town Hall have resulted in lesser services, job losses for local people and tens of millions of pounds leaking from public funds into the hands of private companies, and presumably the pockets of CEO’s and board members?

The Conservative controlled City Council has already announced plans to bring waste services back in house, now it’s the IT services and, I have no doubt, we can expect a lot more of these announcements, as the political pack of cards begins to collapse!

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Extra Bits:

  • Last year we discovered thousands of £’s a month was being spent by Peterborough City Council on mobile phones which were not being used. A report by Serco identified a “staggering 300 mobile phone numbers showing zero usage over the last two months”.
  • In 2019, we were told that an extra £3.687m had to be found for the deal between PCC and Serco! The reason? A: “… savings targets from Serco which had been included in the budget, but now show little likelihood of being achieved.”

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