Serco on the DWP Work Programme

In an article for the Yes Minister blog, one of the leading private sector companies delivering public service contracts revealed their preferences for the structure of the DWP Work Programme.

In the article, Richard Johnson, Serco's Welfare to Work Managing Director reveals that Serco want a two tier market, divided into regions. Johnson asks that this market be:

• Tier 1 - the commissioning, risk-bearing and financing tier. Operating at regional level and delivering the DWP Work Programme contracts through:
• Tier 2 - a mixed public, voluntary and private sector market including all Flexible New Deal, Prime Contractor New Deal, Employment Zones and Pathways to Work frontline contracts and services.

This follows the 'clear delineation' that Serco have established as the prime contractor on Flexible New Deal contracts, subcontracting downwards to a second tier of providers. Significantly, Serco call for a limit to be placed on the number of Tier 1 contractors - to be set at 3-6 nationally, with one tier 1 body per region.

Read the full article here.