Outsourcing to increase local administration efficiency in UK

October 13, 2011: In a recent deal Gloucester City Council and Civica have entered into a partnership for delivery of revenues, benefits and welfare rights. As a result of the outsourcing agreement the local city council is expected to make a saving of £220,000 and also will safeguard employment for 67 council employees.

Civica is a supplier of specialist systems and business process services that assist organizations in changing the way they work. According to the council’s open data portal Civica has been supplying IT equipments and services that supports tax collection and benefits administration. The portal also explains that the local council has already spent £70,000 with Civica.

Based on the new agreement, the business process outsourcing provider Civica will build a new centre of excellence in the city Gloucester to perform tax collection and benefits administration. The agreement extends to period of seven years during which Civica will create a delivery center that will perform the tasks such as revenue and benefits processing. The Gloucester City Council describes this agreement as ground breaking as it will bring savings in terms of money and will safeguard employment of 67 employees.

According to Civica, this first step in the building of a center of excellence that will deliver support in revenue and benefit administration will bring new business opportunities to Gloucester and will help to sustain local employment. It also hopes that it can provide similar support services to other local councils and authorities as well.

By introducing innovations in processes and IT services Civica claims that this agreement will deliver cost saving that amounts to £220,000. In order to improve service delivery and efficiency Civica will combine its expertise with the experience of the existing Gloucester City Council team. This will enable them to introduce new processes and IT based innovations which will reduce the processing cost.

According to Councilor Debbie Llewellyn this outsourcing agreement will provide a means to improve the services to the citizens rather than cutting them down. He was also pleased with setting up such a service center that has the potential to improve the contribution to the economy.   

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