Magazine article Public Finance

Efficient Catering Could Save £220M, Says the NAO

Magazine article Public Finance

Efficient Catering Could Save £220M, Says the NAO

Article excerpt

Annual savings of more than £220m could be generated If public bodies Improved their food procurement, government auditors said this week.

The National Audit Office examined the full range of public sector catering, wtth a focus on schools, hospitals and armed forces' bases, and noted that although progress had been made In recent years more could be done to generate efficiencies.

The March 30 report estimates that £80m could be saved by greater use of joint purchasing. The NAO fourni that more than half of public sector organisations did not engage In any joint purchasing, despHe the fact that 44% used at least two of the same major suppliers.

Further savings couM be achieved H organisations bargained harder for lower prices or better-quality ingredients, auditors said.

Organisations should also do more to negotiate for an increased share of savings enjoyed by many contract caterers. …

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