Last edited 10 Aug 2021

Mixed economy

The Sourcing Playbook, Government Guidance on service delivery, including outsourcing, insourcing, mixed economy sourcing and contracting, was produced by the Cabinet Office and published in May 2021. The Sourcing playbook emphasises that the delivery of public services is a collaborative endeavour involving colleagues from commercial, finance, project delivery, policy and other professions. It proposes to capture best practices from across the Government within 11 key policies that all central departments are expected to follow.

Mixed economy is described in the Sourcing playbook as a frequently used delivery model for projects that is “... a combination of insourcing and outsourcing of different components of the service. In these cases, a combination of the ‘in-house’ and ‘expected market cost’ options, referred to as a ‘mixed economy’ option, can be used to calculate the cost of the service.”

For more information see: The Sourcing Playbook.

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