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Examines the impact of compulsory competitive tendering on the management of UK local government. The changing managerial skills required under conditions of competition are considered alongside overall changes in the role of local government. Drawing directly from the authors′ recent research study, the “three Cs” of local authority management are identified: the client‐side, the contractor,and the corporate manager. Considers the characteristics of each in turn, before a general review of the implications for a“new” public management. Concludes that there has been a fundamental diversification in the needs of (and skills required of)local authority managers in a competitive environment. This may be moving UK local government either towards greater efficiency or towards a fragmentation of its central activities.

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