SMEs still being shut out as half of Whitehall spend goes on mega-deals, report claims
This is a national scandal and needs addressing – procurement should always be a means not an end. I’m afraid, driven by very narrow interpretations of the best way to respond to austerity, the public sector in many areas has made the process of buying things rather understanding them its modus operandi. Three cheers for Barnsley and their far more insightful approach to empowering local people to choose more of the service they receive for themselves. I can provide more details for those with an interest…..
Taxpayers’ Alliance claims that the UK’s procurement spending on €100m-plus contracts far exceeds that of the rest of the EU combined
The government’s direct spending with SMEs still stood at just 10.9% of the overall total in 2014/15, Cabinet Office figures reveal
More than half of the contracts awarded by the UK government in 2015 were worth at least €100m, despite Whitehall efforts to boost the involvement of small- and medium-sized businesses in public procurement, according to a report by the Taxpayers’ Alliance.
The low-tax campaign group found that Whitehall is vastly more dependent on large public contracts – which tend to be scooped up by outsourcing giants such as Serco, Capita and G4S – than any other EU country.
In 2015, the latest year for which figures were available, the UK advertised 167 contracts of over €100m, while France – with the next highest number – advertised only 29, Italy 25, and Germany just five. Combined, the UK’s large contracts were worth €73.77bn (£80.48bn), or 52% of the total contract spend that year.