In order to succeed at all, the whole TR omnishambles relies on there being enough interest out there from bidders keen to take the work on and confident that they can make money. If this blog is about anything nowadays, it's about providing a platform in order to disabuse bidders of all kinds that this is a good idea, that it will work and that it will make them money.
We already know Serco were more than happy to hand the keys back for Unpaid Work in London. Long before the MoJ announced that terminating the contract early by mutual consent in the interests of administrative convenience there were lots of rumours that they weren't making money and had miscalculated on the basis of not knowing the business. In essence it's much more complicated than they imagined.
The recent MoJ announcement of prime runners and riders for the 21 probation contracts goes a long way to confirm unease amongst potential bidders with London, by far the largest contract, only attracting three bidders. This has seriously put the wind up the MoJ and it's interesting that Ian Lawrence, Napo General Secretary, tweeted this last week:- "Bidders for TR now invited to reappraise their preferences for CRC contracts! Pity that staff can't do the same post-assignment."
In answer to a question as to what this meant, a reader supplied the answer:-
There are not enough bidders for each CRC, some like London have only 3 privateers, others have maybe 9 or 10 "interested" privateers...but the worry is when they have heard what a shambles(omni) these competitions are, they might pull out and leave only 1 or 2 privateers in the area. So by asking the privateers if the want a second look at the "goods" there might be a better chance of a better competition. This is especially pertinent to the mutuals who might get giddy and have a go at the neighbouring patch where there is no mutual (Northumbria, South Yorks).
This then is the complete list of runners and riders for the main contracts and if you want to see who is bidding for which contract, there's a very good map on the Russell Webster website.
A4E |
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ARCC Ltd | Fabrick Housing; the Wise Group; Safe in Tees Valley; Tees Esk and Wear Valleys Foundation Trust; the Vardy Foundation; Changing Lives in the North East CIC; Stockton Borough Council; Darlington Borough Council |
Aspire2 Change Ltd (Essex Probation Trust potential Mutual) |
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Capita PLC |
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Chalk Ventures Ltd | A4e Ltd; Bridges Ventures LLP; Co:here |
Crime Reduction Initiatives Ltd |
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CRR Partnership Ltd | Carillion Plc, Reed in Partnership Ltd; Rehabilitation for Addicted Prisoners Trust (RAPt) |
EOS Works Ltd |
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GEO Delta | Geo Group UK Ltd; Delta Rehabilitation Ltd |
GMC Sodexo | Sodexo; Greater Manchester and Cheshire Staff Group |
Hampshire Rehabilitation Services | Hampshire County Council; Altered Images Management Ltd |
Home Group Ltd |
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Ingeus UK | Ingeus UK; St Giles Trust; Crime Reduction Initiatives (CRI) |
Innovo (CLM) Ltd | Innovo (CLM); The Manchester College |
Interserve Investments Ltd |
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Home Group and Mercia Community Action | Home Group; Mercia Community Action |
Momentis and Home Group | Home Group; Momentis |
MTC Amey | MTC (UK) Ltd; Amey Community Ltd |
Northern Inclusion Consortium Ltd | DISC; The Cyrenians; Groundwork NE; Mental Health Concern; Spectrum Community Health CIC |
Pertemps People Development Group |
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Prospects Services |
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Prospects Resolutions Ltd | Prospects Services; Resolutions Ltd |
Seetec Business Technology Centre Ltd |
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Sentinel Offender Services Ltd |
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Shaw Trust | Shaw Trust; |
Sodexo UK & Ireland |
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The GEO Group UK Ltd |
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The Manchester College |
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The Rehabilitation Company | Catch 22 Ltd; Turning Point; Williams Lea |
Working Links |
David Hurst provides some interesting insights on some of the bidders on his blog here. The voluntary sector still think they're in with a chance against the big bad boys as this piece from the Pioneers Post outlines:-
Many social enterprises had their fingers burned with the UK government's Work Programme. Claims abounded of unfavourable contract terms forcing charities and social enterprises out of business. And with public services spending being stripped to the bone, whoever wins the contracts will have to make ‘difficult choices’ involving redundancies and service reductions. But who better to make these than mutuals? As Andrew Laird says: "The backdrop for the majority of public services is of reducing budgets – but the involvement of mutuals in delivering probation services means that there will be a strong voice at the top table to ensure the views of staff and the needs of service users are kept front and centre."
David 16 : Goliath 5?
Back in 2010 Prime Minister David Cameron promised to put social enterprises at the heart of “deep and serious” reform of public services. Certainly, the reforms have been serious and the cuts in spending deep. But social enterprises have been peripheral players. Does this approved bidders list mark a sea change? Obviously, we’ll have to wait and see until the contracts are awarded. Twenty-one ‘lots’ are up for grabs and in one rosy vision of the future mutuals, charities and social enterprises will deliver 16 of these. But the absence of Serco and G4S has not removed the presence of faceless outsourcing conglomerates entirely – and the likes of GEO Group, Capita and A4E are no doubt rubbing their hands together.
But it seems funding might be a problem as discussed on this blogsite:-
The latest iteration of intermediaries innovative ‘have your cake and leave it to go mouldy in a cupboard’ approach has recently seen them offer no help whatsoever to existing social enterprises seeking to enter emerging market for outsourced probation services created by the Ministry of Justice (MoJ)’s Transforming Rehabilitation Strategy.
Whilst on the subject of potential bidders, I thought this cautionary tale from yesterday would be of interest to them:-
Slightly off topic I know, but a difficult day at the office. Around 2pm a disgruntled client smashed his way through a glass security door before attempting to smash his way through the glass frontage on reception at our busy office, using a baseball bat. Reception staff were slightly hurt by flying glass and obviously psychologically very shaken, especially the new receptionist. The client left without being apprehended so colleagues were clearly concerned he may come back. From the little I know of this client he would be managed by the CRC in the new world order. Am wondering how much of THIS reality found its way into the Grayling spin brochures issued to the prospective CRC buyers. Just HOW MUCH LONGER do we need to keep saying that probation is about so much more than let-me-help-you-find-a-job-and-somewhere-to-live-and-everything-will-be-alright.
I make no apologies for shouting.
By the way, for those interested, one of those glossy 'spin-brochures' can be viewed here. I notice there's been quite a lively debate over on the Napo Forum pages about the 'sorting and sifting' and if you haven't seen it I suggest it's worth a look. The following gives a flavour:-
Totally agree with the posts above. I actually feel personally tainted by the process.....although there was nothing to be done really. It was imposed from above. In my office people say little, most PO's are in NPS and feel grateful for what is perceived as a 'small mercy'. During a recent LDU meeting with our ACO barely a voice was raised about what was happening via TR and yet very strong feelings were expressed about a management dictat re. the use of mobiles at work. I find it hard to understand other than to assume people have 'thrown the towel into the ring'. This is judgemental/controversial perhaps......... but I also think that there has been a very high turnover in staff in recent years...... New entrants into the 'service' came in during a time when conditions were already deteriorating so the present changes don't seem such a cultural shock to them perhaps?
I can also say that the very unhappy experienced PO's on the wrong side of the divide, (as far as they are concerned), inform me that they have received next to no support from NAPO re. the appeals process. Quite frankly an exchange of emails with NAPO HQ as to how to proceed is not good enough.
I was always a pretty cynical bod. I never identified with corporatism. Whatever colour it came in....that's why I chose to work in the public sector and couldn't stomach the compromises that would come with going into management. (Over the years I've seen too many people promoted due to their 'ambition' and their preparedness to whistle to the corporate tune rather than any practicioner ability or experience).
My advice to people is this........... get your plan B going......start accumulating your walkaway money. There is a strong bull market out there. UK stocks are on the rise and this could be a trend for the foreseeable future.
IMO...... in my present mood placing faith in the markets would be no worse than listening to any of the well intentioned 'advice' that comes from NAPO HQ. I mean really................ a legal challenge to the ILO! How far is that likely to get us. Pursuing such a course is a sign of weakness not strength.
We are flailing around in the night while the Probation Service is being dismantled. The 7 year protections will cover staff in posts now but any future recruits into CRC's will inevitably be offered markedly poorer terms and training will be perfunctory and basic. Couple this with cutbacks to NOMS/NPS and that's us gone as a going concern. Apart from one honourable exception....not one Trust Chair or Chief Exec has raised their head above the parapet and said anything about this? The hypocrisy is rank....because for years and years I've been lectured to as a worker by a succession of Trust Chief Execs about corporate identity, performance, quality etc etc. Where are these managers now when what they believed in has come crashing down around their ears.....no where to be seen methinks. They are either taking a lucrative role in the new 'setup' or taking their pensions and 'enhanced redundancy' packages.....which by the way are not going to be made available to us grunts!
All very depressing, especially when put into the context outlined here by the Institute of Fiscal Studies of a million further public sector jobs forecasted to go in the coming years:-
The biggest cull of public sector jobs for at least 50 years will see vulnerable parts of the state endure reductions in headcount of up to 40%, Britain's leading tax and spending thinktank said today.
A report by the Institute for Fiscal Studies found that the reductions planned as part of the coalition's deficit reduction programme would hit the poorest parts of Britain hardest, and warned they would prove "challenging" for those parts of government bearing the brunt of austerity.
The IFS said that the government's own spending watchdog, the Office for Budget Responsibility, was expecting 1.1m jobs to go in the eight years from 2010-11, of which only a quarter had so far been lost.
But the thinktank added that the decision to ringfence the budgets for the NHS and schools meant that the bulk of the losses would be in non-protected parts of the central government workforce.
"At the extreme, if there were no reductions to the education and NHS workforces between mid-2013 and 2018–19, the OBR's forecasts could only be borne out if the rest of the general government workforce were to shrink by 40% (from 2.2 to 1.3m) between mid-2013 and 2018-19," the report said.
"Even if the education and the NHS workforces were reduced by 200,000 over the next five years (a fall of 6%), the reductions in other areas of general government employment would still need to be about 30%."
The IFS said the state already employed a smaller proportion of the workforce than at any time for 40 years, and that the further headcount reductions expected by 2018 would dramatically change the nature of the UK labour market. By mid-2013, the first round of job cuts meant 19% of jobs were in the public sector, but this percentage would come down to 15% by the end of the deficit-reduction plan in 2018-19.
Finally, I strongly suggest readers tune in to good old BBC Radio 4 at 8,00pm tonight when File on 4 will be all about the omnishambles:-
Probation staff are currently being told where they will be working under a radical reform of the service. The government is transferring the management of low and medium risk offenders to private companies and high risk cases will be handled by a national probation service.
The Justice Secretary, Chris Grayling, says the reforms are necessary to cut reoffending rates and save money which will be ploughed back into providing support to all prisoners who have served less than 12 months.
But opponents claim the reforms are being rushed in and will put the public at risk.
Last month, it was announced the plans have been delayed. They were due to come into effect in May but the start date has been put back until July.
The new private providers will only be paid in full if they achieve a reduction in reoffending. The programme speaks to one of the companies bidding for the contracts which says payment by results will lead to innovation and visits a prison which says it is already achieving success in a pilot scheme working with prisoners serving under 12 months.
But Home Affairs correspondent Danny Shaw also talks to probation staff about their fears for the future of partnership working and hears why some of them are threatening to quit the service.