Serco to take reins of London Development Agency's Business Link service

Service company Serco will take over the running of the capital's small business support unit next year in a £60m agreement with the London Development Agency.

The move will ensure that thousands of small business entrepreneurs will continue to receive the free support they need to both start up new enterprises and expand existing ones to help London maintain its position as Europe's economic powerhouse.

Serco were selected for the three year Business Link operator grant following a five month tendering process and will take over responsibility of the service from Business Link for London in April 2007.

London Development Agency (LDA) chief executive Manny Lewis said:

"Ensuring that small and medium sized businesses have access to the right type of support is a key area of development for the LDA. Over the three years SERCO will support around 300,000 businesses in London." 

"Together with Serco we can share expertise and experience to achieve the maximum impact for London's rapidly-moving economy, while at the same time providing value for money."

Over the three years, the company is anticipated to provide support for more than half of London's businesses.

Serco will be responsible for ensuring all businesses can access free information online or via telephone 24 hours a day-seven days a week. It will provide information, diagnostic and brokerage services which will include advice on how firms can tap into 2012 Olympic business opportunities. Serco will also help businesses access other support providers in both the public and private sectors.

The company has proven experience in meeting complex customer needs and has delivered contracts in the public and private sectors. It currently operates the national business link website on behalf of the DTI and its Small Business Service. The agreement with Serco is subject to approval by the Secretary of State for Trade and Industry.

Chris Hyman, Serco Group Chief Executive said:

"We are very pleased to be chosen by the London Development Agency to contribute in this way to London's economic success. We share the LDA's ambition to encourage, advise and support small business across the capital to grow, thus maintaining and building on London's pre-eminent position as the best place to do business in Europe."

In April 2005, the Department of Trade and Industry (DTI) handed over responsibility for the Business Link network from the Small Business Service to Regional Development Agencies (RDA).

Those wishing to use the existing service can contact Business Link for London on 0845 6000 787, or visit businesslink4london website.

For media enquiries:

Please contact Andreas Christophorou at the LDA Media Team on 020 7954 0144; for public enquiries, please call 0207 593 9000. To contact Serco, call Graham Capper, Head of Media and Public Relations on 020 8334 4122.

Notes to Editors:

1. The London Development Agency is the Mayor's agency for business and jobs. The LDA prepares the Mayor's business plan for London and mobilises the support and resources of hundreds of partner organisations to help build a thriving economy for London's people, businesses and communities. The LDA is dedicated to improving sustainability, health and equality of opportunity for Londoners.
2. The LDA employed external specialists Grant Thornton to independently advise on the procurement process and to impartially evaluate the tenders. An evaluation panel comprising members of the LDA Board, the GLA and representatives from business also participated in the evaluation process.
3. Serco improves services by managing people, processes, technology and assets more effectively in the commercial, technology, science, education, health, home affairs, local government, transport and defence sectors, working in 37 countries. Serco advises policy makers, designs innovative solutions, integrates systems and delivers to the public. For more information visit the Serco website.