A generational shake-up of local government and continued financial pressure for councils suggest this is a golden moment for Local Authority Trading Companies (LATCos) and The MJ’s inaugural conference on the subject prove the buzz is real.
More than 140 delegates packed into The Birmingham Conference and Event Centre on 4 March to share experiences, learnings and future plans. With the event proving a pull not just for existing LATCos - keen to hear from conference speakers as they prepare for a changed local government landscape - but also for councils considering taking a step down the same path.
The attraction for councils is obvious, with the likes of England’s largest LATCo Norse Group managing to generate a health annual profit for Norfolk CC while also transforming service delivery in the county.
Learning from Experience Across the Sector
With a whole host of routes LATCos can take the conference sessions and panels proved there was plenty for delegates to learn from each other.
Leading a session on ‘Profit with Purpose’ Simon Howick, managing director of Oxford City Council’s LATCo Oxford Direct Services (ODS), commented: ‘I thought we may all be saying the same thing, but we haven’t been. It’s been really useful.
‘Opportunities like this are fantastic to share ideas.’
A great many topics were covered, from getting the best out of non-executive directors and managing engagement with council teams and councillors to how LATCos can solve some of the most intractable challenges facing communities.
LATCos as an Alternative Service Model
Rhian Stone, chief executive of Bolton Cares, the social care LATCo owned by Bolton MBC, spoke during a panel session of the opportunities for the companies to provide a solution to one of the biggest challenges facing an ageing Britain.
‘It can get us out of the mess we’re in,’ she said, adding that LATCos offer a ‘third way’ for councils, between insourcing and outsourcing. ‘It’s a fantastic way to provide social care for community benefit rather than profit.’
This highlighted a point made throughout the day, including by Norse chief executive Justin Galliford, who emphasised the opportunity to generate ‘ethical’ profit through LATCos when he talked of his company’s work on the rehabilitation of former prison inmates into society.
With Stone talking of a forum she has formed for fellow social care LATCos to understand the challenges and benefits of the model it was clear the appetite for greater interaction on the subject was high, helping explain the pull of the conference.
The quality and quantity of questions often points to the level of true engagement at events such as these and both were hitting impressive heights in Birmingham. This was particularly true for Mark Cook, partner at local government legal experts Anthony Collins. It indicated a sector willingness to make the most of the wealth of opportunities provided through LATCos.
Building Knowledge Across the LATCo Sector
And the breadth of questions highlighted the need for events such as these to bring those involved in and curious about LATCos together. As may be expected, the opportunities from LATCos are numerous and consequently there is a lot to know.
While much of the necessary knowledge may be black and white, there is also the need to navigate the grey. The need to manage relationships effective was something picked up by Anthony Lewis, managing director of recruitment specialists Tile Hill, during his session on the podium. He provided a number of pearls of wisdom to get the most out of non-executive directors.
The initial feedback was that the event proved highly worthwhile, informative and useful to delegates and The MJ is already planning for 2027, as the sector is expected to increasingly eye up LATCo opportunities with reorganisation appearing over the horizon.
Register your interest for the 2027 LATCo Conference to join councils, LATCos and sector experts.