Leicestershire County Council and Nottingham City Council have signed an innovative partnership that will pool administrative functions, including human resources, payroll and finance services, in the first step of a new East Midlands Shared Services centre, which could attract other authorities.
Leicestershire County Council leader David Parsons said: In these challenging times, our innovative agreement shows how authorities can achieve real savings by working together. “Every pound we save is a pound that we don’t have to take away from the frontline. I would encourage other authorities in the Midlands to consider joining us and achieve benefits themselves.”

Proservartner Point of View: The Comprehensive Spending Review (CSR) has had significant impact on shared services within the UK Local Government landscape. The deal by Leicestershire County Council and Nottingham City Council aims to create a shared services hub in the East Midlands, and there are already conversations with Leicester City Council and Charnwood Borough Council regarding the sharing of services.
This is not the first collusion of councils announced since the CSR, and do not expect this to be the last. We expect shared services initiatives to be announced across the UK, which involve Councils colluding with neighbouring Councils; and to a lesser degree, Councils colluding with neighbouring NHS Entities, Police Forces and Fire Services such as in the recently announced Herefordshire model.

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