Agency staff – market outlook
The short to medium term looks difficult for the supply of agency staff into Central Government. There are 46 suppliers with contracts in Central Government, GPS will replace them with 3 prime contractors, and a number of second tier suppliers, giving SMEs a chance to still win business in the market.
Spend will continue to reduce and GPS is expecting to see significant savings through margin reductions whilst Departments, many of whom are behind target on savings, will expect to achieve savings by lowering demand for non-permanent staff.
However, the age of big government shows no sign of abating and the the Departments are struggling to evaluate the impact of cuts on their workforce and service delivery. This doubt will undoubtedly create opportunities for some providers, but this is a long way from the recent past.
For a real insight into the market for agency staff in Central Government we have published a detailed, 170 page report on agency staff in Central Government. Find out more here.