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CBI: 50 YEARS OF BUSINESS INNOVATION | A CHANGING SOCIETY


cent among men and from 16.4 per cent to 25.1 per cent among women. More worrying is the association between obesity and increased risk of many serious diseases and mortality. For example, it is estimated that an obese woman is almost 13 times more likely to develop type 2 diabetes than a woman who is not obese. The number of people admitted to hospital with a primary diagnosis of obesity in 2012/13 was almost nine times higher than the figure for 2002/03.


REFORM AGENDA Added to these twin pressures of an older population and higher rates of obesity come greater expectations from consumers, the challenges of climate change and changing family and social structures. With rising demand for services and shrinking resources, it is even more urgent that public services such as health, education and social welfare are delivered more efficiently in an era of fiscal constraint. The CBI has strongly argued that the only way to deliver improvements to public services at a


Opposite: A rising population puts pressure on housing


“ WITH SHRINKING RESOURCES, IT IS EVEN MORE URGENT THAT PUBLIC SERVICES ARE DELIVERED MORE EFFICIENTLY”


lower cost is to bring in the skills from the private sector to devise and implement more efficient systems. Only by opening up the delivery of public services to independent providers and encouraging greater innovation can the government find real cost savings and service improvements. Twelve years ago the CBI set up the Public


Services Strategy Board, which now includes the CEOs of 20 major private-sector service providers who can share their experience to help rethink how public services can operate more effectively and efficiently. The focus over the coming years will be to both get better value out of the public sector and to bring in private-sector providers into a greater range of services. Private-sector delivery of public services already accounts for 7 per cent of GDP and employs some 2.5 million people but there is clearly potential to apply public skills to a wider range of services in areas such as reform of the National Health Service and greater integration of health and social care provision.


130 The need to do more with less in the public


sector raises a number of key issues. There will need to be greater transparency in the award and oversight of public-sector service contracts to boost levels of confidence among the public in the quality of service and value for money they can expect. Through its Public Services Network, the CBI seeks to bring together business, public sector, the voluntary and charities sector and other interested groups to establish a dialogue on the right ways to proceed. The CBI has long argued that opening up


services to private- and voluntary-sector providers must be a major part of the solution, helping the UK meet its immediate and longer-term spending needs and delivering an increase in quality, choice and value for money. The challenge will be to come up with innovative ideas of how to address the current and future requirements in the UK’s public services to create a fiscally balanced outcome that benefits people, taxpayers and businesses alike.





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