PROPERTY and highways services have been brought back in-house by Blackburn with Darwen Council.
The original 2001 15-year deal between the two was renegotiated and reduced when it ended in 2016.
Services taken back 'in house' then by the borough included accounts for debtors and creditors, revenues and benefits, parking, and design and print services.
The new five-year deal with Capita, worth £60million, covered highways, design, property, architectural and technical services.
Resources chief Cllr Andy Kay said: “We refreshed this partnership a couple of years ago. Both sides agreed it needed a review.
“There are better ways of operating and that’s where this change has come from.
“It’s to make sure whatever we do as a council is as efficient as possible.”
Capita are now one of the largest private sector employers in the borough with additional premises at India Mill in Darwen and a lease of the first floor of the offices at One Cathedral Square.
The cost of running the in-house services for highways and property will be covered by the current contract costs and it is expected that the council will achieve budget savings as a result of the transfer.
Earlier this year, following the appointment of a new Capita Chief Executive and the publication of the company’s 2017 end of year results, Capita set out a new strategic direction for the organisation.
The firm’s focus in future will be delivering technology-enabled services.
In a report approved by Blackburn with Darwen Council's executive board, Cllr Kay said: "The environment in which local government is operating has also changed since this contract was let.
"Whilst both parties envisaged the need to adapt to changing circumstances, the rapidly changing external environment has accentuated the need for the council to increase the level of direct control it exercises.
"Therefore it was agreed that a simplification and reset of the contract would be explored."
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