Government to level playing field for SME’s
New measures to level the playing field for smaller business bidding for government contracts are to be announced. The series of measures are designed to allow a wider variety of businesses including SME’s to supply goods and services to the Public Sector, while also making public sector procurement more transparent.
Cabinet Minister Oliver Dowden is due to unveil the proposals which will entail the following:
- Excluding suppliers from major government procurements if they cannot show fair and effective payment practices with their subcontractors
- Requiring suppliers to advertise subcontracting opportunities via the Contracts Finder website
- Requiring suppliers to provide the government with data showing how businesses in their supply chain, including small businesses, are benefiting from supplying to central government
In the most recent figures from 2015/16, the government spent £5.6 billion directly with small businesses. More importantly, when sub-contracts to small businesses from larger suppliers was taken into account, total spend rose to £12.2 billion. Read more here
If you would like to know more about public sector procurement and the tender processes, please visit the Public Sector Show on 26 June 2018.