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Prepare for the public procurement landscape post-UK general election
Understand the impact of the UK general election on public sector procurement
Introduction
In a recent report, we outlined the effects of the 2023 Procurement Act, citing it as one of the first big changes made to public procurement in recent years. However, with the upcoming general election, suppliers face even more uncertainty.
Since Rishi Sunak called a General Election, there has been a flurry of questions: Will this affect the implementation of the Procurement Act? And, if there is a change of government (as many predict), what will it mean for suppliers?
To help make sense of this, we have consulted government advice, past data, and expert opinion, to offer some clarity for the months ahead.
Post-election procurement outlook: what to expect for public sector buyers and suppliers
Many of the procurements that will now be delayed by the election will be pushed to after it. However, The Procurement Act is likely to have some varied and unpredictable impacts over the course of the year. We may see some contracts brought forward so they come under PCR2015. Procurement expert Martin Medforth notes, “Other buyers are thinking of waiting, why are we even thinking of running that procurement under the PCR 2015. It will be if the outcome will be so much more successful if we delay it and don't start it until November.”
There are around 8,000 government contracts set to expire in the next six months. Stotles can provide visibility into these contracts, allowing suppliers to filter and track upcoming tenders.
Will the Procurement Act be delayed or adapted?
In a recent report we unpacked what the Procurement Act might mean for suppliers, and how you should respond. While this advice still stands, since the election experts have highlighted the uncertainty that remains around the Procurement Act.
Gemma Waring noted, “Despite the general election throwing a bomb into the plans, the cabinet office has been quite reassuring.” Despite official reassurance, some uncertainty persists. Johnny Hugill added, “Everything the Cabinet Office has said has been signed off, but it also might just be too close that if a new government comes in, they might not actually want to immediately pass or implement legislation that's been passed by the former government. So the short answer is we don't know.”
The next government will also likely seek to address some of the challenges that come from the act’s implementation. Professor Albert Sanchez Graells, a leading procurement expert, told us, “Never mind spending sprees, or more likely cuts. Whoever is in government on 5 July will have to turn their minds to unaddressed issues, such as the need to significantly improve the training and upskilling supporting the rollout of the new procurement rules from October, and the need to boost public buyers' digital competency.”
Strategies for Suppliers During Government Transition
Aside from staying updated on the transitional arrangements for the Procurement Act, suppliers should be prepared for possible hesitancy in award notices and new tenders as the new government settles in. Anticipating changes to procurement timelines and strategies will be crucial during this period of uncertainty. Beside staying informed, suppliers should be taking active steps – talking to buyers, and using technical tools like Stotles to surface potential opportunities.
On a human level, Rikesh Shah advised, “Keep talking to your buyers … and don’t assume everything is working behind the scenes.” Engaging in open and continuous communication with buyers can help suppliers stay informed about any potential shifts or delays. Martin Medforth echoed this sentiment, recommending, “Don't be afraid of having the conversation. Certainly, by the time we get past the election, civil servants will open up again.”
From a technical perspective, suppliers can benefit from using Stotles to stay up to date with tender alerts. Suppliers can be promptly notified of new tenders and changes, and get visibility of tenders your competitors will be seeing.
Conclusion
If you were hoping for a crystal ball to predict the future of UK procurement, we’re sorry to disappoint you. As you probably expected, uncertainties remain about the future of UK procurement and the General Election. So, in the face of this uncertainty, what should suppliers be doing? The key lies in staying informed and maintaining open communication with buyers. By leveraging the tools offered by Stotles, suppliers can gain visibility on current contracts that may be affected, be alerted to new tenders, and anticipate future needs and priorities. By doing so, suppliers can not only look ahead with increasing clarity, but also stay ahead of their competition.
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