November 2013 saw the publication of “Transformation or Stagnation?” a report by GL Hearn and Realign Consulting, comparing the progress made by the NHS and local authorities over the last five years in various areas of asset management. The report surveyed over 530 public sector organisations across the UK. and addressed a range of issues including the workplace environment, resource constraints, collaboration, private sector partnering, regeneration and sustainability.
The report highlighted significant differences between local authorities and the NHS, whose respondents perceive themselves to be more advanced in terms of the maturity of asset management processes and quality of their workplace environments. Among other findings:
- Local authorities were finding it much harder to make bold investments in their estates, driven by budgetary constraints and fear at how such spending decisions will play out at the ballot box.
- By contrast the legacy of PFI and ring fencing of budgets appears to have left the NHS in a better position. Despite some difficulties PFI has delivered some positive gains in the form of better patient and workplace environments that would not have been delivered otherwise.
- A lack of resources to drive change and better performance appears less of an issue than may have been expected – Councils have been forced to be more efficient.
- Most local authorities are engaged in initiatives with a multi agency collaborative element, but there is less evidence of the grander plans for the creation of pooled asset vehicles set out in Total Place and subsequent policy initiatives.
- The NHS is looking more closely at LABV type long term partnership arrangements for major development and estate transformation as an alternative to PFI. Completed deals in Lancashire, Calderdale and Cambridge are evidence that the model is capable of flexing to meet a range of different objectives.
- Regeneration continues to be a high priority for local authorities with no signs that austerity measures have forced Councils to prioritise maximising capital receipts from property disposals over longer term regeneration objectives.
- Reductions in CO2 emissions are largely being achieved through the reduction in space occupied rather than investment in property.
A full copy of the report “Transformation or Stagnation” is available via the following link-
https://realignconsulting.co.uk/wp-content/uploads/2019/11/Transformation-or-Stagnation.pdf