Business issues

Procurement

Good procurement - or purchasing - of goods and services by government ensures the public gets the right public services that provide good outcomes and offer value for money

Overview

All public bodies are under pressure to reduce spending, but they still need to maintain important services which people need. By procuring - spending - more effectively, the public sector can positively change the way many services operate. But that does require improved procurement skills and strong leadership to bring about change. It also means working more closely with providers from the private and third sectors as well as existing public sector providers.

CBI policy

Improving procurement will mean a new approach to the relationship between the public and private sector. By engaging with members and working closely with the Cabinet Office, we’ve put together a Seven Point Plan for improving UK procurement. It sets out the steps require to ensure that procurement gets the right product at the right price and delivers the right results.

There have been significant changes in the procurement landscape. But we want to see the reform process spread across all parts of government, to ensure a more effective and mutually beneficial approach to maximising the value of public spending and delivering better results for the public and private sector.

Public sector procurement is also a powerful tool for ensuring public services meet particular policy goals. It can promote environmental and social equality objectives, but it should do so in a way that makes clear the requirements placed on contractors.