8. The impact of delegation on central services
Summary
8.17 All six of the DSOs in the study had seen some reduction in the number of schools for
which they were providing meals. The degree to which they had lost business was
almost certainly a reflection of the level of satisfaction schools felt with the service
provided or the prospective profitability to schools of opting for alternative provision.
8.18 Those DSOs that had experienced a substantial loss of schools from the central
contract had seen a decline in their capacity to develop the services they offered, both in
terms of the infrastructure of kitchens and serving areas but also in the provision of
healthier meals. There was concern that with more profitable schools lost to the
contract, DSOs would have difficulties providing smaller or less profitable schools with
a meal service without introducing a differential pricing system. This would have
implications for the delegation of future budgets for free school meals.
8.19 Despite the disadvantages, DSOs acknowledged that delegation had provided an
impetus for them to review the service they provided. With more awareness of the
costs of the service, schools had taken the opportunity of delegation to consult the
DSOs to provide services tailored to local requirements
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