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Transforming Public procurement

Public procurement law is changing. One in every three pounds of public money, around £300 billion a year, is spent on public sector procurement.

The Procurement Act 2023 - a short guide for suppliers

If your business supplies goods or services to organisations in the public and utility sectors, you need to know about the changes.

The new Procurement Act will help companies of all sizes, because:

  • it includes a new digital system will make bidding easier for suppliers. You can register and save your details to see all work opportunities on a single website
  • it will make it easier to bid, negotiate and work in partnership with the public sector
  • the structure will be more flexible, giving new suppliers a chance to join regularly
  • there will be prompt payment for more businesses in public sector supply chains
  • a stronger exclusions framework will take tougher action on underperforming suppliers

This will drive innovation, creative ways of working and better end results. It will also make the whole buying process clear, letting everyone see how money is spent.

Government and businesses have worked together to make these changes. The new act is simpler, cost effective and improves public services. Smaller companies welcome the new buying rules too. The law will change on 24 February 2025*. Old contracts will keep the old rules, these will change gradually.

*On 12 September 2024 a Written Ministerial Statement (opens new window) was published in Parliament announcing that the new rules will go live on 24 February 2025. A short delay of four months from the previous go-live date of 28 October 2024.

The new Procurement Act does not bind the suppliers. It will make your work with public bodies and utilities better. It's about everyone changing how they think and act. You can play a big part in making this change happen.

Guidance and Support

This short YouTube animation (opens new window) summarises the new Procurement Act and suggestions for initial steps to help prepare.

Read more about the new act at Transforming Public Procurement- GOV.UK (opens new window).