Contracts should be long term, says chief

A leading voluntary sector organisation is calling for the
voluntary sector to run public services along private finance
initiative lines.

Launching a report last week, Stephen Bubb, the chief executive of
the Association of Chief Executives of Voluntary Organisations,
said the public would benefit if the government did more to help
the sector.

He said the sector, which employs one and a half million staff and
has an annual turnover of £20bn, already runs vital public
services in areas including personal social services, housing and
education.

But he argued that the sector needed long-term funding with the
replacement of year-on-year renegotiating with 25-year
contracts.

He said:”A PFI equivalent needs to be found for the voluntary
sector to run services so it can compete with the private sector.”
The debate over running public services should not be seen as a
straight race between public and private sectors, he added.

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