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Why local procurement?


The Community Strategy of the City of London sets the following objective “to maximise local employment opportunities for local people (who live in the City / City fringe) and opportunities for local businesses to access contracts for goods and services”.

The City of London is also aware that whilst the City houses some of the richest concentrations of businesses in the world, its neighbours include some of the country’s poorest communities. It believes this contrast is unacceptable and works in partnership to help build the economic, environmental and social fabric of City fringe communities.

The City of London has for some time been aware of the enormous potential that local procurement could make to stimulate the economies of neighbouring boroughs and the associated job creation opportunities. The bulk of all future jobs growth is expected to be in the small and medium-sized enterprise (SME) sector rather than through larger firms. The development of a vibrant SME economy must be the basis of any sustainable form of regeneration in the City fringes and neighbouring boroughs. For this reason in June 2003, the Policy and Resources Committee approved the City of London’s Local Procurement Project which aims to “encourage and facilitate the adoption of local procurement by the Corporation and City firms”.

The recognition of the important role that procurement can play in economic regeneration led to the formation of a unique partnership project funded by the Economic Development Office, but operationally based with the Central Procurement Unit.


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