Latest Public Sector News

07.02.14

Nudge Unit spun out of Whitehall

The Behavioural Insights Team, commonly known as the Nudge Unit, has been spun out into a new mutual joint venture, the government has announced.

Government, employees and charity Nesta will each own a third of the company. It is the first time a government policy team has been partially privatised.

The Nudge Unit was launched in 2010 to identify ways of influencing public behaviour and employs 16 staff. Successes include encouraging more people to sign up as organ donors through changing the wording of messaging on driving licence applications, saving money at the UK Court Service, and council tax collection.

David Halpern, formerly team director, has been appointed chief executive.

Nesta chief executive Geoff Mulgan said: “We're convinced that there's huge potential to grow the Behavioural Insights Team's work – and to deliver impressive results – and are looking forward to helping them make this happen.”

Cabinet Office minister Francis Maude said: “There is loads of evidence that employee-owned and led companies outperform their competitors. The government has retained a stake so that if it is spectacularly successful, as we hope it will be, the government has an interest in the upside.”

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