Welfare to Work

THE FRAMEWORK and DELIVERY AREAS. OTHER CONSIDERATIONS

  1. THE FRAMEWORK & DELIVERY AREAS    

Is it still the rule that public sector contracts must not account for more than 50% of a providers income ?

The average contract is likely to be between £20m £25m. How many providers can leverage £20 or £30 million contracts in single or multiple lots?

It is difficult to square the massive Geographic areas with the financials. If –as the framework agreement suggests – there are 3 primes each holding sizeable contracts in a lot how deep can the supply chain really be?

Greater Manchester with the  largest FND contract, with its larger areas is possibly the closest model.  SERCO may well have the most pragmatic knowledge of how and whether the 11 Lots can work.

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