Departments ‘could save £45m a year’ on services_3

A better understanding of consultant fee structures and improved negotiating skills could save government departments £45 million a year, according to a National Audit Office (NAO) report.

The survey of how departments buy professional services also claims that better use of competitive tendering could save a further £12 million. A third of consultancy contracts were awarded through single tenders or informal price tendering.

Twenty-five suppliers accounted for 37 per cent of the departments’ £610 million annual expenditure. The biggest earner was...

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