Barry Gardiner

Goodness me! It is very rare that I stand in this Chamber and get such immediate results from the Government. If this is a precedent, it is one that I wholeheartedly welcome. I am delighted to hear what my hon. Friend has just reported is the new Government policy. As I was saying about the Department for Work and Pensions, defining some job vacancies as “new entrant trainee opportunities” and naming local organisations as potential recruitment partners can increase opportunities for local people without damaging competition, and he has just mentioned a very good example. This is especially important in the context of the youth guarantee announced by the Government in September. Likewise, local business support organisations can help increase opportunities for local SMEs. Many combined authorities have a role to play in promoting good practice, on a shared basis, in their regions. Finally, I am concerned that the current model provides a complex shopping list of what social value might be sought. It leaves procurement teams to unpack what each will involve and then turn that into a tender requirement. This is in a context in which many of the procurement staff involved, especially in works contracts, will be new to social value. I am struck by the critique of the social value approach that was made in the 2024 report published by the Centre for Local Economic Strategies, one of the leading organisations in the field. It says that “an entire industry has grown up around the demand for methods, measures and consultancy time to help understand and measure social value. As a result, there are concerns that the original purpose of social value and the nuanced social dynamics involved in measuring its impact may be lost to bureaucracy and rigid frameworks.” I think that sums it up perfectly. In my view, the current social value model will bring a bonanza for consultants. Both contracting authorities and contractors will feel that they need to seek help to engage with these relatively new requirements. It would be far more efficient to simplify the requirements and equip procurement teams with the tools, systems and training to put these into contracts and monitor delivery. I have three urgent questions for the Minister to consider. First, will the Government review the social value model to reduce the negative impact on small businesses seeking services contracts? Secondly, will the Government, perhaps working with the National Infrastructure and Service Transformation Authority, commission urgent work to develop a targeted recruitment and training approach for large works contracts, using the experiences gained through the toolkits elsewhere in the UK? Thirdly, will the Government clarify whether all vacancies on works contracts have to be listed on the DWP “Find a job” website, and if so whether employers are able to exercise a local preference when delivering a social value obligation?