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Date: 06.12.2014

London Boroughs Consolidation Centre (LBCC) Case Study

Location: London

London Boroughs Consolidation Centre

A feasibility study carried out on behalf of Camden, Waltham Forest and Enfield Councils focused on obtaining supply chain savings and environmental benefits through procurement.

The study recommended the use of a London Boroughs Consolidation Centre (LBCC) which is a facility that channels suppliers’ deliveries into one central point. The goods are then sorted onto fewer vehicles for the final ‘leg’ (last mile) of the journey to Council sites, on a just in time basis. The LBCC is not designed to be a warehouse for long term storage. Following the study and initial trial, Waltham Forest and Islington Council joined the LBCC.

Funding for the LBCC is secured until 2015 from the Mayor’s Air Quality Fund, London Borough of Camden and the EU funded LaMiLo (Last Mile Logistics) project. LaMiLo is investigating efficient sustainable ways to carry out last mile logistics to achieve environmental benefits.

The LBCC is a shared resource between London boroughs of Camden, Enfield, Waltham Forest and Islington. The facility is based in Edmonton and is currently operated by DHL. It is a 2,000 sq ft warehouse space but could be expanded to 8,000sq ft if demand grows. It serves over 300 council buildings across the four boroughs in Central and North London.

When it first opened, only four suppliers were delivering to the LBCC. Since Camden's move to its new civic building at Pancras Square, the number of suppliers using the LBCC has increased to 72.

All inbound goods from the initial four suppliers are delivered to the LBCC at pre-agreed time slots (6.30am-8.00am). Goods from other suppliers can arrive at any time between 6.30am-6pm. The goods are then consolidated and delivered to the Councils' buildings (9.30am-4.00pm) by DHL, with collections returned to LBCC.

Two vehicles are currently making the final delivery to council buildings. Vehicles are now operating at 80% or higher utilisation. In the 12 months of operation, the LBCC consolidated 51,000 items for delivery fulfilling 9,700 orders. Only 0.64% of items were returned.

The environmental credentials of the centre will be further enhanced following the introduction of an electric Nissan commercial vehicle.


The aim is the the LBCC will be self-funding in the longer term. This can be achieved through:

  • The capture of savings from suppliers due to their reduced costs as a result of providing 'single point' deliveries
  • More disciplined ordering system
  • Re-organising internal logistics
  • Storing a small amount of stock to avoid having to re-order
  • Absorbing some or all deliveries currently undertaken by the in-house transport operation
  • The potential to earn commercial income from outside parties who wish to use the LBCC

As short delivery distances are travelled, the adoption of electric vehicle technology will lead to substantial environmental benefits.


  • Improving local air quality
  • Reducing empty running mileage
  • Local authorities are required to make savings
  • Lack of awareness and understanding of how organisastion operate from a logistics perspective


  • Suppliers delivering to one Consolidation Centre point rather than multiple addresses
  • Consolidate deliveries to reduce number of trips 
  • Boroughs procurement tender documents to make the LBCC a requirement for their deliveries
  • Working collaboratively withother boroughs, local businesses and other organisations
  • Providing options for out-of-hours deliveries, use of quieter technology and trials of alternatively fuelled vehicles


By September 2015 the LBCC aims to achieve:

  • 57% reduction in vehicle trips
  • 69% less kilometres travelled
  • 72% reduction in empty vehicle running
  • Reductions in NOx (71%), PM (87%) and CO2 (67%) emissions
  • Buying power increased enabling a reduction in costs to be negotiated
  • Goods will be delivered “just in time”, reducing the pressure on available storage facilities
  • Facility has capacity to expand the operation to other public, private and not for profit organisations
  • Increased control about the movement and arrival of deliveries
  • Ensuring vehicles and operators are following safety Best Practice

 For more information on the pilot, please contact:


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