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UK ministers have said ‘the age of outsourcing is over’ as the Cabinet Office set out a plan for bringing services like cleaning and security back in-house. Central government departments will be required under new guidance to produce five-year roadmaps for how they will strengthen their in-house capabilities. This will reverse years of contracting out functions to outsourcing titans such as G4S, Serco Group PLC, OCS and ISS, which diminished the state’s capacity to carry out its own services, the Cabinet Office said. Departments will have to apply a new public interest test before renewing contracts worth more than £1 million, focusing on long-term quality rather than short-term cost savings. Chief Secretary to the prime minister Darren Jones said: ‘I want to end the era of ’outsourcing by default’ and build stronger in-house capacity. The British people deserve value for their money not just the cheapest, short-term option which may not deliver quality in the long-term. ‘By introducing this public interest test, and leading the way by looking to bring our cleaners and security staff back in-house when major contracts end in 2028, we are rebuilding our national capacity to deliver high-quality services the British people deserve.’ Chancellor Rachel Reeves said: ‘I am determined to change the UK’s economic model so that public services are run in the public interest with more workers brought back in-house. ‘For too long outsourced workers who play a vital role in public services have been overlooked and treated differently. This Government was elected to insource more public services and that is what we are doing.’ Cabinet Office minister Chris Ward said: ‘This Government promised to deliver a wave of insourcing and that starts in our own buildings and with our own staff. ‘Bringing the government’s cleaning and security services back in-house is just the start, and alongside a new public interest test shows that under this Government, the age of outsourcing is over.’ Serco shares fell 1.4% to 241.00 pence each on Wednesday morning in London. By Sophie Wingate, Press Association Deputy Political Editor Press Association: News source: PA Copyright 2026 Alliance News Ltd. All Rights Reserved.
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