Outsourcing public services is creating ‘a shadow state’

The Shadow State, a report published today by Social Enterprise UK, says a ‘shadow state’ is emerging in which a small number of large companies providing outsourced public services are becoming too big or complex to fail, with serious consequences for Britain’s economy and communities.

Charities and social enterprises are being pushed out of public sector markets, says the report, and evidence points to companies providing lower-quality services in their drive to maximise shareholder profits.

 

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