This paper contributes to the analysis of contemporary public sector restructuring in the UK through an evaluation of the impact of the introduction of compulsory competitive tendering (CCT) for the provision of local public services. Public services play an important stabilizing role in regional economic development but the introduction of CCT has undermined that role. Public service workers have suVered deteriorating levels of pay and conditions of service, and the capacity of local authorities to act to support local economic development has been reduced. Thus the introduction of CCT has undermined the contribution of local public services to the maintenance of interregional economic stability and to regional development
