Guide for councils published to improve commissioning partnerships with charities

03 Dec 2024 News

Adobe, by chaylek

New guidance has been issued to improve partnerships between local government commissioners and voluntary, community, faith and social enterprise (VCFSE) organisations.

It sets out a series of principles around partnership working towards “designing services that truly meet people’s needs”, with charities delivering almost £17bn of public services annually via grants and contracts.

The Purposeful Collaboration guide, commissioned by NCVO, the Lloyds Bank Foundation for England and Wales and the Local Government Association (LGA), provides tips, case studies and tools for councils.

The handbook, issued in late November, offers support people in public-sector roles dealing with commissioning and procurement, as well as those working in charities, social enterprises or other VCFSE sector organisations commissioned to deliver public services.

It highlights how the Procurement Act 2023, which sets rules for public procurement, can save money and deliver better results for communities by enhancing collaborations with VCFSE organisations.

The guide’s six principles include focusing purposefully on outcomes, ensuring processes are inclusive and accessible, tailoring partnerships to organisations’ operating context, being flexible, recognising how interconnected systems affect results, and valuing insights both from within the VCFSE sector and from service users.

‘Game-changer for charities’

Sam Mercadante, NCVO policy and insight manager, told Civil Society: “The new guidance is a game-changer for charities.

“It empowers commissioners to work with charities and social enterprises in shaping public services that truly meet community needs – moving beyond delivery to influencing design and measuring impact.

“By embracing the flexibilities of the Procurement Act 2023, the guidance encourages bold, innovative, and collaborative commissioning practices.

“Ultimately, it’s about building genuine partnerships that deliver better outcomes for communities.”

‘Frustration with the public sector’

Marc Francis, policy and national programmes manager at Lloyds Bank Foundation for England and Wales, told Civil Society: “Small charities often express frustration with the public sector commissioning processes.

“That is why the foundation supported NCVO and the LGA in developing this guidance.

“It aims to ensure all parties use the legislation to implement better practices, including public authorities involving the VCS sector in designing commissioned services that achieve value for money and better outcomes for people and communities.

“The guidance will help inform those with strategic responsibility for overseeing commissioning, such as local councillors and those directly involved in its implementation, as the legislation comes into effect next year.”

A relevant guide for multiple sectors

“Each year, charities [provide] critical services like homelessness support and domestic abuse services,” a statement announcing the guide said.

“These organisations bring deep knowledge of and connections with their communities, making them key partners in designing services that truly meet people’s needs.”

NCVO said the guide is for anyone involved in designing, commissioning, or delivering public services, including local authority commissioners and lawyers, councillors and senior leadership teams, and central government commercial teams.

“It is also a valuable resource for VCFSE organisations that can use it to guide their conversations around partnerships,” the organisation said.

The guide is limited to covering the Procurement Act 2023, and does not include legal guidance about the Provider Selection Regime, the legal framework for commissioning health services.

Nonetheless, its six principles are still useful to health services and make it relevant across various sectors, NCVO said.

Recently, the LGA and NCVO also published a guide to improve relationships between councils, regional sector bodies and smaller charities in England.

Meanwhile, central government plans to publish the Civil Society Covenant next year, which prime minister Keir Starmer said would set out “fundamental reset” of the relationship between the state and charities.

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