Procurement Act 2023

What is the Procurement Act 2023?

The Transforming Public Procurement programme is changing the way supplies, services and works are procured for the public sector, for the better.

The programme has delivered the Procurement Act 2023. This is legislation designed to overhaul the current government procurement processes. This is so that every pound goes further for communities, as well as public services.  It reforms the UK’s public procurement regime to:

  • create a simpler and more flexible commercial system. One that better meets our country’s needs. While remaining compliant with our international obligations
  • open up public procurement to new entrants. Including small businesses and social enterprises. This is so that they can compete for and win more public contracts
  • embed transparency throughout the commercial lifecycle. This is so the spending of taxpayers’ money can be properly scrutinised.

In a nutshell, the Act focuses on simplifying public procurement for public benefit. As well as for transparency, scrutiny and value for money.

The Act is due to go live on 24 February 2025. The Act will impact all Network Rail commercial and procurement activity.

How suppliers may see us do things differently

We’re preparing to revise our commercial and procurement activity. We’re doing this in line with the proposed reforms in the Procurement Act 2023. There will be no impact to existing contracts, or live procurements.

As the Act is rolled out, these are some changes you may see from Network Rail.

Notices:

  • visibility of commercial pipelines via the government’s Find a Tender Service (FTS). As well as on Network Rail’s website
  • a specific preliminary market engagement notice. This will inform the supply chain of engagement scheduled to happen. As well as engagement carried out to date.

Competitive tendering processes:

  • a reduction of procedures to: direct award, open framework, or competitive flexible procedure
  • more flexible commercial frameworks (e.g. an open framework). These can be opened during its life span
  • competitive flexible procedure. Network Rail can design its own procurement process to best fit the nature of what is being procured. And the marketplace in which is it being bought.

Supplier registration:

  • central digital platform for suppliers to register and store their details. This is so they can be used for multiple bids, and see all opportunities in one place
  • in order to work with Network Rail, suppliers will need to ensure they are registered. They can do this on this system before submitting tenders.

 Dynamic market:

  • a register of tools to show which frameworks and dynamic markets are available. This is so suppliers can identify opportunities. And research the options for bidding on these in the future
  • suppliers can apply to join the Dynamic Market any time. And the buyer can use the register to run quick competitions.

Frequently asked questions

Links to government guidance

There are many resources to support suppliers and other external organisations get ready for go live on 24 February 2025.

The Cabinet Office recently ran two webinars focused mainly on what the key changes are, as well as how the central digital platform will work (featuring a live demonstration). If you missed these, here’s a recording.

The Cabinet Office has also shared some ‘how to’ guides on the central digital platform:

For more information on the Central Digital Platform, take a look at this factsheet.

There is also a dedicated supplier information page on the government’s website. We encourage our suppliers and those wishing to work with us, to take a look at and revisit it regularly. It will include further information and ‘how to’ videos the closer we get to go-live.

Here are some links to Cabinet Office-developed knowledge drops specifically for suppliers. As well as small and medium-sized enterprises. And voluntary, community or social enterprise organisations:

For suppliers – part 1 – Youtube video

  • Main changes under the Procurement Act 2023
  • Benefits of the new procedures
  • Central digital platform
  • Supplier obligations
  • Key actions for suppliers.

For suppliers – part 2 – YouTube video

  • New requirements for contracting authorities
  • Central digital platform
  • Early market engagement
  • Value for money considerations
  • Changes to procurement procedures
  • Open frameworks and dynamic markets.

For suppliers – part 3 – YouTube video

  • Supplier exclusion regime
  • Debarment list
  • Changes to how contracts are awarded and managed
  • Measures for prompt payment
  • Transparency and notice publication requirements
  • Procurement Review Unit.

For SMEs and VCSEs – part 1 – YouTube video

  • Main changes under the Procurement Act 2023
  • Benefits of the new procedures
  • How SMEs and VCSEs can demonstrate their capabilities
  • Increased opportunities for negotiation, engagement and innovation
  • Central digital platform
  • Supplier obligations
  • Key actions for suppliers

For SMEs and VCSEs – part 2 – YouTube video

  • New requirements for contracting authorities
  • Central digital platform
  • Early market engagement
  • Value for money considerations
  • Changes to procurement procedures
  • Open frameworks and dynamic markets.

For SMEs and VCSEs – part 3 – YouTube video

  • Supplier exclusion regime
  • Debarment list
  • Changes to how contracts are awarded and managed
  • Measures for prompt payment
  • Transparency and notice publication requirements
  • Procurement Review Unit.

Links to further information

Related pages