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The Big Society and health, Part 1

The first part of Associate Director Matt Leach's speech delivered to the King's Fund on the future of health in the Big Society

The recent Third Sector magazine survey of local government employees - “Big Society: We'll have a go, but what is it?” - reports that sixty per cent of people in the voluntary sector and local government think that the government's big society is a good thing in principle - but 65 per cent do not have a good understanding of what it is. I suspect that there is a similar or perhaps lower level of knowledge within the health sector.

We need to shift those numbers, because the Big Society is not going to go away. The amount of time given to the concept in the Prime Minister's speech is evidence that it wasn't a pre-election gimmick.

Indeed the fact that the government found it hard to sell on the doorstep, but has persisted with it emphasises the extent to which it is a narrative that will continue to define significant parts of the government's direction into the future.

So it is important that we spend some time talking about what the Big Society is, what it will mean for government, communities and public services.

One thing to make very clear, is that the Big Society is a broad vision and a work in progress, and the extent to which it has been fully explored in particular policy areas, and I would include health in that, varies considerably. As a consequence, there can still be misunderstandings about what it is about. And its worth clearing some of them up.

Contrary to what might be claimed by some commentators, I would argue that it is not all about outsourcing public services to civil society organisations or others. There are lots of good reasons for doing this - not least to increase plurality of supply, competition and value for money, and because services are often delivered better by organisation based close to beneficiaries. Greater involvement of civil society organisations in delivering public services can contribute to achieving Big Society objectives, but it is not the principle point of the Big Society vision.

It is not about short term changes in public spending. Although the Big Society has been launched against the background of a crisis in our public finances, and may over time help us - collectively - to adjust to changes in the role and reach of the state, in thinking about the Big Society, we should look less at short-medium term spending decisions - including those announced in the Comprehensive Spending Review - and rather towards longer term shifts in the ways that government and communities organise themselves, which - given the scale of that ambition - is a generational, rather than a 3-4 year project.

In that sense, it should not be seen as a conventional government programme, with a budget attached, a defined timeframe, and a set of clear targets against which progress can be tested and checked, and performance measured. It is broader and more ambitious than that.

So what is it? I would argue that it is as much an analysis as a programme. What underpins it is a deep and genuine concern that - over many years - the strength of the links between us as individuals, within communities, within our neighbourhoods, have been weakened by a political and economic system that has sought to monopolise power and responsibility and crowded out the space previously occupied by what is currently called civil society.

As the size and areas of competence of the state has grown, we have collectively looked, and been conditioned to look, increasingly to government to do something, be it through legislation, regulation or funding, at the expense of generating solutions for ourselves.

For many - rather than being participants in economic activity, we have instead become passive worker/consumers, with both those who employ us, and those who manufacture what we buy, or lend us the money to buy it, located remotely, with no genuine ties to or stakes in the communities and localities that we live within.

This weakening of both personal responsibility and community strength has contributed to a society that it increasingly atomised and fragmented.

That - in itself - has direct and indirect health impacts. Poverty, loneliness and isolation are all major factors affecting both physical and mental health. And networks and connectedness, the strength of the family and community ties we have can have major positive health impacts, as well as providing sources of support when we need it. Given the likely pressures we will face over the next twenty years arising from the ageing population, this is an area that will be of growing importance...

Part 2 of Matt's speech argues that the health services must look towards designing interventions that build social capital and community confidence

Comments on: The Big Society and health, Part 1

Gravatar Update 03 May 2011
BIG SOCIETY UPDATE
3 May 2011 Last updated at 17:50

Plans to outsource public services 'scaled back'
James Landale By James Landale Deputy Political Editor, BBC News
Francis Maude The documents detail a meeting between Cabinet Office Minister Francis Maude and the CBI


The government is scaling back plans to use the private sector to deliver public services, the BBC has learned.

Leaked documents suggest ministers have decided the "wholesale outsourcing" of public services to the private sector would be politically "unpalatable".

Ministers instead want to use more charities, social enterprises and employee-owned "mutual" organisations.

Outsourcing was meant to be a key part of the government's drive to cut costs and reduce the UK's budget deficit.

The shift in policy will raise questions about whether the government can make the savings it has promised - or deliver the services it is committed to - just by using charities and mutuals.

The change will also raise questions about whether the Conservatives are bowing to Liberal Democrat pressure to focus more on delivering public services locally rather than privately.

The government's plans will be unveiled in the long-delayed Open Public Services White Paper which is expected to be published later this month.
Continue reading the main story
“Start Quote

The government was not prepared to run the political risk of fully transferring services to the private sector”

End Quote Note of a meeting between Cabinet Office Minister Francis Maude and CBI director John Cridland

The aim of the reform is to find new ways of delivering national public services, such as benefit payments, tax collection, services within the NHS, civil service administration, justice services like prisons and probation, and even the provision of things like driving licences.

The change in the government's thinking is revealed in the note of a meeting in recent weeks between Cabinet Office Minister Francis Maude and the director general of the CBI, John Cridland.

The note, obtained by the BBC, is marked "strictly private and confidential" and was drawn up by the CBI as a record of the meeting.

It says: "The minister's messages were clear cut... the government is committed to transforming services, but this would not be a return to the 1990s with wholesale outsourcing to the private sector - this would be unpalatable to the present administration.

"The government was not prepared to run the political risk of fully transferring services to the private sector with the result that they could be accused of being naive or allowing excess profit making by private sector firms."

Private sector involvement would be limited to joint ventures with not-for-profit groups.

The note adds: "Government is very open to ideas for services currently provided within the public sector to be delivered under a private/government joint venture. Government is committed to new models of partnership, and private sector organisations need to offer joint ventures - joint ventures between a new mutualised public sector organisation and a 'for profit' organisation would be very attractive.

"Government... was very interested in turning existing services into government companies. These would avoid the downsides of 'hassle' and adverse political reaction."
'Independent provision'

One source in the outsourcing industry said: "This is a bit surprising. Francis Maude gave the impression when we got called in last year that we would be very much needed.

"There was every expectation that the private sector would be needed to help get the deficit down. This goes the other way. It seems to be different to what the government was committed to a year ago."

The government began consulting on public service reform in November 2010.
Continue reading the main story
“Start Quote

We need all parts of society including businesses, social enterprises and charities to play a part”

End Quote Cabinet Office spokesman

In the accompanying Green Paper, entitled Modernising Commissioning, the government said it wanted to "promote independent provision in key public services". It defined independent providers as "voluntary and community organisations, social and private enterprises".

It emphasised how it wanted to save money: "Increasing the diversity of provision can drive innovation and efficiency by increasing competition and consumer choice and can deliver improvements in value for money and outcomes."

In a second consultation document, published at the same time, the government asked: "Can you identify specific opportunities for bringing private sector investment and expertise into the delivery of public services?"

On 17 January this year, the prime minister said in a speech: "We are injecting competition, saying to the private sector, community organisations, social enterprises and charities: come in and deliver great public services."

On 20 February this year, David Cameron wrote in the Daily Telegraph that the government would create a new presumption that all "public services should be open to a range of providers competing to offer a better service" - the only exceptions being national security and the judiciary.
Big Society

Supporters of outsourcing claim that it improves the quality and reduces the cost of public services. Opponents deny this and fear that workers' conditions, pay and pensions would be hit if public services are outsourced.

A Cabinet Office spokesman said: "Too often there has been a binary choice between the government providing a service itself or outsourcing it to the private sector. This has been driven by a belief that services have to be controlled centrally, a one size fits all approach which has left little room for innovation.

"We want to change this. As part of building the Big Society, we want to open public services up to SMEs [small and medium-sized enterprises], employee co-operatives, voluntary sector organisations and social enterprises, who may often partner with the private sector. We believe that this will create more innovative and localised services, while also decreasing costs and increasing efficiency.

"Sandwell Community Caring Trust is just one example where since the staff have taken over, back-office costs have halved meaning more money is spent where it matters. We need all parts of society including businesses, social enterprises and charities to play a part in this radical reform and there's no reason the state shouldn't keep a stake so that taxpayers benefit from the increased value of improved services."
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Gravatar Sandra Gruescu 10 November 2010
The long-term view of the Big Society is paramount. I agree with you that we should avoid decisions based on short-term figures and opinions. But the Government tends to think until the next election campaign, so how can we encourage them to have a long-term view?
What I miss in discussion on what the Big Society is, is the role of solidarity. I think without solidarity with those who are ill, poor, lonely etc the Big Society will not work. Family and community ties are crucial but who is looking after those who are not part of a strong community and have little chance to get involved? This should be the role of the state/the local government after all.
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Detailed Summary

Date Published
02 November 2010

Categories
Big Society
health
social capital
Welfare and Public Services

About The Authors

Matt Leach

Matt Leach was associate director of ResPublica and Head of Health, Housing and Environment Unit from September 2010- Ju...