Shropshire Council

Market position statements

A market position statement is produced for the benefit of current and future service providers. It can:

  • Include useful information for service providers to consider in business planning
  • Pull information from needs assessments and market assessments in order to outline our understanding of demand for services, need and supply
  • Highlight levels of need within the population
  • Identify where services are already in place and where there are strengths and weaknesses or gaps
  • Describe identified trends and influences on the market
  • Outline any required models of practice
  • Propose opportunities for change and innovation
  • Present the approach the local authority is taking, the direction of travel and what it expects from the provider market
  • Communicate the commissioning budget available
  • Explain how the commissioner will work with providers in future (including where market intervention will take place)

Provider services can also use a market position statement to check that the local authority understands market challenges, need within the community, and has the mechanisms in place to appropriately engage with both current and potential providers. It can also be used to obtain feedback from people using services, and other stakeholders.

Local authorities have been encouraged to introduce market position statements as part of best practice in commissioning. A number of national bodies have promoted their importance as a way of developing a common and shared perspective of supply and demand. The National Market Development Forum (NMDF), a partnership of leaders from local authorities, voluntary organisations, private service providers and national umbrella bodies, has produced a range of guidance. Organisations involved in work to promote good practice include: The Children’s Improvement Board (CIB), Institute of Public Care at Oxford Brookes University, the Local Government Association and the Society of Local Authority Chief Executives (SOLACE).

Market position statements are a relatively new tool. Their application has developed within the adult social care departments of many local authorities, but they're not yet widely used,

Downloadable documents will be available here soon.