On Wednesday this week MPs gathered in the House of Commons to examine the public services bill at a critical stage in the parliamentary process. What could have been a long and arduous debate was over in less than two hours. This is testament to the fact that the private members' bill, tabled by one of the nicest people in politics, Conservative MP Chris White, is – put quite simply – a no brainer. It's difficult to kick back against a piece of proposed legislation that if passed would bring about social and economic recovery, and do really good things for people in communities at a time when Britain is in the financial doldrums.
It's early days, but if made law, the public services bill would ask that councils commission services from providers that are committed to doing more with the business or contract than simply making money. Commissioners and procurement officers would be requested to seek out organisations that deliver above and beyond, not by charging the lowest price and over servicing, but by charging a fair price while supporting the boroughs and communities in which they operate. Social enterprises and charities are well practised at this across health, education, housing and transport – creating jobs for people who would otherwise be unwillingly reliant on the state; training and building the self-esteem of young people who didn't think they could play a part in society; providing recycling and waste management services.
According to the Department for Business, Innovation and Skills, the government's annual spend on commissioning and procurement stands at £236bn. That's a lot of money that could be doing a lot of good. It's time that councils started getting more bang for their buck. Money will not be wasted, but it'll work harder. It's time to stop fluttering billions away – we can no longer afford that luxury.
To blame the current state of play on councils would be wholly unfair. We're told that local authority employees sometimes want to choose social enterprises and charities when commissioning or procuring, but that they can't because they're not always the cheapest option. The only way to give councils the freedom to change the way they work is to put legislation in place that gives them permission and encourages them to look at the overall value they're getting for their communities. It is legislation that will kick start behavioural change and a cultural shift in local authorities.
As the bill continues its journey through the Commons, we will be briefing MPs ahead of the report stage and we're already working with legal experts to draw up practical advice for commissioners to support them to think about how their purchasing decisions can work better for the communities in which they work and often live.
While amendments have been made that are disappointing for civil society, we can't let this opportunity pass us by. And the government must not water down any further a bill that could give the "big society" vision some credence. It remains an opportunity for social enterprises and charities to deliver more public services and this could inject finance into the third sector at a time of grave cuts. But all of us must not lose sight of what is at the core of the bill – spending more wisely so that society profits while business is being done.
Peter Holbrook is chief executive of Social Enterprise UK
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