Milton Keynes outsources recycling

Seven-year contract agreed

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Milton Keynes Council has signed up to a new £80m outsourcing contract in a bid to ramp up its increase recycling programme and reduce its carbon footprint.

Residents will benefit from more household collections, more recycling and less waste being sent to landfill, according to the outsourcing giant Serco, which has bagged the contract. 

The council will pay Serco £80m over a seven-year contract, which is due to start in 2009, with an option for a further seven years after that.

The shake up will see rubbish and recycling collected on the same day, kitchen waste collections, 'green' vehicles used and more environmentally friendly collection routes selected.

Milton Keynes' cabinet member for environmental services, Chris Williams (Lib Dem), said: "With the predicted growth of Milton Keynes, waste and recycling will become even more prominent. I look forward to a long and fruitful relationship with Serco."

Other notable examples of councils signing up to multi million pound outsourcing deals include Serco's recent £265m ICT and property services venture with Glasgow City Council. 

In March, Serco and rival Capita both posted strong financial results, suggesting the outsourcing industry is in rude health.

The results were met with a scathing report from the Audit Commission, which warned councils of the perils of strategic partnerships with the private sector.