Dacorum and North Warwickshire Borough Councils have joined a shared service which provides transactional services to councils.
CapacityGRID, which is provided by IT services firm Liberata, has over 25 councils using its services to complete business processes such as revenue and benefits transactions.
As well as providing cost savings, joining the shared service removes the need for councils to make upfront investments and go through long procurement processes.
Ruth Ormsby, who headed up the NHS Shared Business Service, said shared services are appropriate in organisations that run the same processes. The NHS Shared Business Services uses an Oracle platform and a single set of processes to run the back offices of over 100 NHS trusts.
Ormsby, who now works in Accenture's public sector business, said local government is a big shared services opportunity. “In the NHS the shared service freed up resources for frontline care services. In local government it will have a similar benefit."
Savings form shared services also suit non-profit organisations because savings can be re-invested to improve services.