26 September 2003
Voluntary sector leaders are calling for their public service contracts to be put on a more stable long-term footing so that they can compete with the private sector.
Replacing the state?, published by the Association of Chief Executives of Voluntary Organisations on September 25, put the case for a strengthened role for charities and not-for-profit organisations.
Launching the book, ACEVO chief executive Stephen Bubb said the voluntary sector had become an important third player in public service provision. 'We are no longer marginal to the debate on public service reform, but part of the answer,' he said.
The not-for-profit sector was already deeply involved in the running of many public services, including the air ambulance, hospices and housing associations.
But Bubb added: 'A Private Finance Initiative equivalent needs to be found for the voluntary sector to run services so that it can compete on the same terms as the private sector. We want long-term, 25-year contracts, not short-term, year-on-year renegotiating.'
The Treasury is committed to building on the partnerships that have been created with the voluntary sector. It has established a one-off, three-year investment fund worth £125m called 'Futurebuilders' to help the sector modernise its service delivery.
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