The Parliamentary Secretary, Cabinet Office (Georgia Gould)
The Procurement Act 2023 aims to create a simpler and more transparent regime for public sector procurement that will deliver better value for money, and reduce costs for business and the public sector. This Government will use this legal framework to deliver greater value for money and improved social value, which will help raise standards, drive economic growth and open up public procurement to new entrants such as small businesses and social enterprises.
Under the Act, the previous Administration published a national procurement policy statement to which contracting authorities will have to have regard. But this statement does not meet the challenge of applying the full potential of public procurement to deliver value for money, economic growth, and social value. I have therefore taken the decision to begin the vital work of producing a new national procurement policy statement that clearly sets out this Government’s priorities for public procurement in support of our missions.
It is crucial that the new regime in the Procurement Act goes live with a bold and ambitious statement that drives delivery of the Government’s missions, and therefore I am proposing a short delay to the commencement of the Act to February 2025 so this work can be completed. I am confident that the extra time to prepare will allow for a more seamless transition, ensuring a smoother and more effective implementation process for both contracting authorities and suppliers.
Letters to withdraw the previous Administration’s statement will be issued to both Houses shortly and the Government intend to make regulations to set a new date for the commencement of the Procurement Act 2023 of 24 February 2025.
I have also written to the relevant Ministers in the Welsh Government and the Northern Irish Executive seeking their agreement to the new date and assuring them of my commitment to working together in implementing the Procurement Act.
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