The Procurement Act 2023

The new date for Go-Live is Monday 24 February 2025. This replaces the previous date of Monday 28 October 2024.

Cabinet Office have announced the delay to go-live has occurred to allow time for a new National Procurement Policy Statement (NPPSS).

New legislation

The new law will introduce significant changes to the regulations governing the procurement of goods, services and works across the public sector. The intentions of the reforms are to:

• Create a simpler and more flexible procurement regime
• Place value for money at the heart of decision-making
• Ensure there is greater consideration of social value (i.e. the additional social, economic and environmental benefits that suppliers can offer on top of the core requirements of the contract)
• Ensure there is greater accessibility of contracting opportunities for small businesses
• Stress the importance of integrity
• Improve transparency throughout the procurement and contracting life cycle
• Better enable contracting authorities to get tough on underperforming suppliers and those suppliers who pose an unacceptable risk.

Implications for school buyers

As those of you already aware of these developments will know, the new piece of legislation will have implications for school buyers. Here are some key areas to consider before the Act comes into force:

1. Taking a strategic approach - The new law encourages a strategic approach to procurement, moving beyond compliance and price and towards a rounded consideration of value for money. Schools are encouraged to develop procurement strategies aligned with school objectives, while considering social value and how to make opportunities accessible for small businesses.
2. Understanding the new procurement rules - Schools should familiarise themselves with the new procurement rules and guidelines outlined in the Act. This includes the revised tendering processes, evaluation criteria, and contract management practices.
3. Engaging with suppliers - Effective communication and collaboration with suppliers will be crucial under the new Act. Schools should foster open dialogue, provide clear procurement information and encourage feedback from potential suppliers.

Schools are encouraged to familiarise themselves with the upcoming changes, and what they mean. Should the changes sound daunting, there is comprehensive guidance and support available.

Cabinet Office has launched Knowledge Drops to provide a high-level overview of the changes to the procurement regulations and should take no longer than one hour to go through. Supporting factsheets can also be read alongside the Knowledge Drops to build further awareness and understanding regarding the exemptions for schools under the new regime.

As signposted to previously, schools can also access the DfE’s free and impartial procurement service for schools for further advice and guidance. Additionally, schools may wish to engage with school business professional peer networks to discuss how to prepare for and implement the changes.