The requirement for public authorities to consider the social value of organisations before awarding contracts runs the risk of not being implemented, MPs warned today.
At the end of January the Social Value Act 2012, which was a private members’ bill, came into force. At a briefing about the act for businesses this morning the Act's author, Chris White MP (Conservative) and Hazel Blears (Labour) stressed the importance of continuing to support both procurement authorities and businesses to consider social value in awarding contracts.
Blears said: “If we get that right this could be transformational in terms of the impact that we can make in our communities.”
But warned that continued pressure would be needed to ensure it becomes mainstream: “As well as protecting it like a new born baby through the Parliamentary process, I don’t think that we can let up now – we have to make sure that this becomes mainstream to the way that business operates, the way that government operates," she said.
White added “we don’t want it to end up on people’s shelves” and “the challenge will be to show how it works and where it works”.
Blears said: “I don’t think passing the law is ever enough," adding that what is needed now is support for local authorities and businesses to implement the law through local champions, practical guidance and toolkits.
Sarah Haywood (Labour) leader of Camden Council welcomed the Act saying that the act presents a welcome opportunity for organisations pitching for contracts to illustrate their social value.
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