Wednesday 1st August 2012

Councillors in Cornwall have approved plans that could part-privatise some support services as part of a proposed "new strategic partnership".

The decision marks the latest stage in the Council’s proposal to find a Strategic Partner to work with the authority and health partners, including the Royal Cornwall Hospital Trust, Cornwall Partnership Foundation Trust and Peninsula Community Health, to deliver a range of support services.

Steve Double, the Council’s portfolio holder for shared services, said “The purpose of finding a Strategic Partner is to create jobs in Cornwall and realise savings, both for the Council and our health partners.

“By working in partnership together and with the private sector we have a fantastic opportunity to bring the back office of our organisations together and generate further efficiencies.

Two possible suppliers, BT and CSC, have been in dialogue with the Council about the development of the "new strategic partnership". The decision means that formal invitations to tender for the new £300m contract will be issued to the two bidders subject to approval.

Responding to concerns over the timescale and potential risks of the project, Steve Double said that while there were certainly risks with going ahead, there were even more risks both for the Council and the people of Cornwall if they did nothing.

“We know that we will have to make substantial savings in our budget over the next few years” he said. “This project will enable us to save up to £5 million within the first two years –savings we would have to find from other services if we do not go ahead. This means we can protect highly valued services such as libraries and one shop shops from the impact of future budget cuts.