New guidance to bring services back in house
Cleaner

The government has published new guidance aimed at bringing key services like cleaners and security staff back in-house.

The new Public Interest Test will ensure departments and officials look beyond short-term pricing to focus on long-term service quality and public value for contracts over £1 million.

As part of the new guidance, central government departments with over £100 million in annual contract spend will have to create five-year roadmaps to rebuild their in-house capabilities.

This follows the establishment of the National School of Government and Public Services, to move away from outsourced government training contracts.

Chief Secretary to the Prime Minister Darren Jones said: "I want to end the era of ‘outsourcing by default’ and build stronger in-house capacity. The British people deserve value for their money – not just the cheapest, short-term option which may not deliver quality in the long-term.

"By introducing this Public Interest Test, and leading the way by looking to bring our cleaners and security staff back in-house when major contracts end in 2028, we are rebuilding our national capacity to deliver high-quality services the British people deserve."

Chancellor of the Exchequer Rachel Reeves, said: "I am determined to change the UK’s economic model so that public services are run in the public interest with more workers brought back in-house.

"For too long outsourced workers who play a vital role in public services have been overlooked and treated differently. This government was elected to insource more public services and that is what we are doing.