OfT questions ICT procurement at LAs, LGPS infrastructure group, CIPFA take on counter-fraud centre…

OfT calls for probe into local government ICT value
The Office for Fair Trading has concluded that competition is not working effectively in the market for ICT products and services procured by local authorities. A report this week said that some public sector ICT markets were vulnerable to price fixing by suppliers, but said it could not find any firm evidence of collusion. It recommended that the new Competition and Markets Authority should launch an inquiry into whether anti-competitive behaviour is affecting the market.

Council pension funds join forces
Three local authority pension schemes are collaborating to invest in infrastructure projects. Avon Pension Fund, Dorset County Council Pension Fund and Swansea City and County Pension Fund are tendering for managers for a joint investment. Other funds could buy in to the investment, which will consider international and domestic projects, at a later stage.

CIPFA to launch counter-fraud centre
The Chartered Institute of Public Finance and Accountancy (CIPFA) has announced plans to create a centre of excellence in counter fraud for public services.
The move comes as CIPFA prepares itself to inherit counter fraud functions transferring from the Audit Commission when it is abolished in March 2015. The new Counter Fraud Centre will build on existing tools and guidance available from CIPFA as well as Audit Commission resources.

Serco wins Lincolnshire outsourcing deal
Lincolnshire County Council has signed a £70 million contract with Serco for the provision of services including finance.
The contract, which will also cover ICT, customer services and human resources, is aimed at saving £14 million over the life of the five-year contract. Serco beat off competition from rival Agilisys to win the contract, which will be operational from April.

Scottish watchdog warning over political strife
Political tensions and instability are affecting the ability of some Scottish councils to do business effectively, according to a review by Audit Scotland. The public spending watchdog cited reports from its auditors into Argyll and Bute Council, Falkirk Council and Aberdeen City Council, where governance arrangements and political differences had hindered decision-making. It said: “Helping to improve working relationships can absorb a large amount of councillor and senior manager time when there are already pressures on senior managers to deliver the changes required to address existing service and financial issues.”

Councils ‘need to plan for HS2-related development’
Local authorities near proposed new High Speed 2 rail stations should create delivery bodies with planning powers to deliver regeneration and development schemes, according to a new report. The study, by the HS2 taskforce, says councils should consider how local funding sources can be used to deliver infrastructure for such schemes, and how to capture rises in land values. It recommended that councils should publish growth strategies related to the rail project by the end of this year.