As public bodies are asked to find further savings, we think it is time to look harder at making the most of assets.
To find out more about maximising value from assets (including case studies).
Many public bodies have valuable assets such as:
- real estate – for example, land with development potential (even if it is currently in use)
- intellectual property, including best practice, data and software
- trading assets, ie, products or services that are currently charged for.
There are big opportunities for public bodies to maximise the value of their assets to the public purse. With the right investment, capabilities and commercial approach this could generate substantial benefits, including financial returns that could offset wider funding cuts and generate substantial value to support policy. This value may be financial and non-financial, and it can be realisable up-front and over time.
Some parts of the public sector have deep expertise in the kind of asset commercialisation needed, and have made great strides in realising value. But for most it is not a core part of business and there is a risk that assets remain under-used or are sold off too cheaply.
Growing businesses and maximising the value of assets is Capita's core business. Our aim is to combine our capabilities (in growing businesses, commercial acumen, financial firepower, for example) with the great capabilities and assets of local authorities and others to increase the value that can be generated. We’re already in partnerships with public bodies that are currently commercially developing assets, including:
- Axelos, a joint venture between the Cabinet Office and Capita which is commercialising intellectual property
- Entrust, a joint venture between Staffordshire County Council and Capita focused on education support services
- Defence Infrastructure Organisation, in which the Ministry of Defence and Capita are working together to commercialise real estate
- FERA, a new joint venture between the Department for Environment, Food and Rural Affairs and Capita developing science services
- RE, a joint venture between the London Borough of Barnet and Capita focussed on property.