Charities: Operating Costs

Cabinet Office written question – answered on 28th March 2023.

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Photo of Barbara Keeley Barbara Keeley Shadow Minister (Cabinet Office), Shadow Minister (Culture, Media and Sport)

To ask the Minister for the Cabinet Office, what plans he has made to ensure charities contracted by (a) government departments, (b) local authorities and (c) NHS bodies to deliver public services can pay their operational costs including paying a fair wage.

Photo of Alex Burghart Alex Burghart The Parliamentary Secretary, Cabinet Office

It is a legal obligation that employers pay the National Minimum Wage and National Living Wage, introduced by this Conservative Government, and the National Minimum Wage for workers under 23. Departments can also require suppliers to pay above these rates, such as the London Living Wage, where it is relevant to do so.

UK public procurement policy is to award contracts on the basis of value for money, which means the optimum combination of cost and quality over the lifetime of the project.

The Sourcing Playbook sets out the Government's policies with regards to outsourcing. It was introduced to improve decision making and the quality of contracts government places with suppliers. The Playbook is focussed on getting things right from the start, and includes 11 key policies which help government and industry work together to deliver high quality public services while maximising value for money.

By getting things right from the start and driving better contracting with the private sector, the playbook policies prioritise high quality outcomes, whilst also driving efficiencies and savings.

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