https://www.legislation.gov.uk/ukpga/2023/54/contents/enacted
The key changes
Publishing requirements & supplier engagment
Procedures
Supplier Exclusion
Transparency
Preparing for changes
What’s new?
- Consolidation – the Act consolidates the different procurement regulations under one Act.
- Direct Award – introduction of the ground to protect life where a Minister of the Crown considers it necessary and as such introduces regulations that a direct award is permitted. Covid would be a prime example
- Debarment – introduction of a debarment list. If a supplier is listed on the debarment list they are considered an “excluded supplier”, and must be excluded. Suppliers can’t spring up under a new name
- Framework Agreements – new concept of an “open framework”. Open frameworks can be for a period of eight years with provisions for the frameworks to be “opened” at least once during the first three years and then at least once during each five-year period.
- MAT – authorities are to award a contract to the “most advantageous tender” (a move away from the the old most economically advantageous tender”/MEAT). How is this different? I think most procurements would previously have a MAT theme anyway but now it’s more specifically spelt out i.e. procurement’s were not normally awarded on price alone previously and themes like social value and ESG were already taken into account
- Modifications – introduction of new modification “gateways”/”safe-harbours” including (i) materialisation of a known risk, and (ii) specific defence contract safe-harbours e.g. to enable authorities to take advantage of developments in technology.
- Procurement Objectives – authorities must have regard to the importance of (a) delivering value for money; (b) maximising public benefit; (c) sharing information for the purpose of allowing suppliers and others to understand the authority’s procurement policies and decisions; and (d) acting, and being seen to act, with integrity. Requirement to treat suppliers the same unless a difference between the suppliers justifies different treatment.
- Procedures – there will be (i) Open, (ii) Competitive Flexible Procedure, and (iii) Limited Tendering (i.e. direct award).
- Terminology – UK specific non EU
- Whole-lifecycle – more importance placed on the contract lifecycle as a whole. Contracts above £ include a need to set KPIs and annually publish an assessment of performance against such KPIs.
- Transparency – additional transparency requirements e.g. publishing “contract change notices” prior to modifying contracts, and “contract termination notices”.
- Standstill – the new regime will have an eight-working days standstill period and the automatic suspension will only be available if a claim is brought (and the contracting authority is notified) within those 8 working days.
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