Serco wants deal for 'up to 15 years'
THE private firm running Stoke-on-Trent's schools and children's services for the council wants a longer contract, it has emerged.
The Sentinel understands Serco is in talks with Stoke-on-Trent City Council to secure a fresh deal for a new contract of up to five years, after its present agreement expires next year.
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Serco wants deal for 'up to 15 years'
This comes after council officials said Serco had pulled out of talks to extend its existing three-year £5.2 million deal by 12 months to April 2011.
Now council officials are waiting to see if the Government allows education and children's services to return to local authority control next April, or if it must remain in private hands.
Asked about its future in the city, a Serco spokesman said: "We haven't said that we are not minded to go for the contract extension. We have been working in Stoke-on-Trent for some time and consider it a very successful partnership.
"We are at a very early stage in our discussions with the council about what happens next, and the Department for Children, Schools and Families would also have to be involved in those discussions. We cannot say whether we would be minded to seek a new contract because we don't know what the details would entail."
He added: "We are in discussions and there are many possibilities from our perspective."
Some councillors believe Serco is looking at a longer contract extension.
Non-Aligned Group spokesman, councillor Mick Salih, below, believes any deal is linked to the fact that Serco is one of two companies bidding for the £250 million strategic partnership contract to run some of the council's administrative services from next year.
He said: "I have been told that Serco is trying to negotiate a contract for up to 10 or 15 years.
"I think Serco wants to expand its operation to include taking over control of the city's education and child social care services, and bringing them into the strategic partnership.
"The council's interim chief executive Chris Harman has actually said there would be more staff than the current 793 from IT and benefits being transferred, they would just be the first phase."
He added: "I believe we are talking about a massive contract that would effectively privatise our education and childcare services departments."
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Related links:
Leaders refuse to delay £250m vision
Serco quits talks on extended deal
Letter: Let schools thrive by taking a stand to halt Serco deal
2 Comments
by Sue, Hanley
Saturday, May 30 2009, 10:13AM
“Phase two of the outsourcing has been brought forward and consideration is being given to including Education in the contract. Surely these major changes affect the whole basis on which the contract was offered. Other companies may be out there who would have bid on this revised basis and the other companies who bid but have been dismissed have not been given the chance to revise their offer. No wonder the elected members board would not discuss the concerns of the scrutiny committee, they have too much to hide. The council's procurement system surely is compromised and the legality of continuing is in doubt. I also recall the audit commission encouraging councils to accomodate staff in cheaper offices outside city centres, but no doubt they don't care as it is us who will ultimately pay for the extra expense.”
by E.B., Stoke
Friday, May 29 2009, 2:23PM
“Not even our stupid,inept council would agree to giving Serco a 15 year contract,
WOULD THEY ?.
Giving these people shorter contracts keeps them on their toes,the longer the contract,the more lapse they will become.”