HM Treasury News Release 

176/98                                    26 October 1998
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GEOFFREY ROBINSON CALLS FOR JOINT VENTURES TO SELL
GOVERNMENT SERVICES INTO WIDER MARKETS  

A workshop aimed at making better use of  government assets by
developing joint projects between the public and private sector
and selling them into a wider market is being opened today in
London by Paymaster General Geoffrey Robinson.

The new initiative allows the private sector to use its
entrepreneurial skills in developing joint ventures as part of
a move to ensure that the public sector is getting full value for
its many and varied assets.

Speaking at the Treasury's Wider Markets workshop, Geoffrey
Robinson said:

"Wider Markets is a marvellous opportunity and a challenge for
us all.  This Government believes that both the public and
private sectors have key roles to play in delivering public
services and encouraging  investment.  We need public private
partnerships to get the best out of the assets  - physical and
intellectual - that we have. 

"This is one - but only one - of the contributions government
itself can make to meet the productivity challenge the Chancellor
has set us all.

"This initiative is also about changing the culture in Whitehall.
It's about giving departments incentives to operate efficiently
rather than just telling them to do so. It's about the Treasury
giving guidance and support. A partnership in government as well
as between government and the private sector."

Government has many assets which it believes could be used more
intensively - not just to physical assets: land, property and
equipment, but also to non-physical assets such as software,
databases, know-how and other intellectual property. 

Wider markets policy allows Departments to retain the receipts
from selling services they have developed from using spare
capacity.  This can be achieved by developing commercial services
based on public assets in partnership with the private sector.


NOTES FOR EDITORS

The wider markets policy has been developed by the Treasury's
Enterprise & Growth Unit in partnership with departments and the
private sector.  The aim of the today's workshop,  which is being
organised in cooperation with Ernst and Young, is to help the
public and private sectors to begin the process of developing
successful wider markets projects.

The second workshop, which will be held on 20 November and
jointly facilitated with PriceWaterhouse Coopers, will look in
more detail at the types of joint venture and other partnerships
with the private sector which can be used to develop more complex
wider markets projects.  


# = pounds sterling