How improvements to the government’s commercial pipelines can unlock UK growth

A commercial pipeline can be explained in simple terms as a document or database that lays out the contracts and projects an organisation will be using in coming months and years.

By identifying the key projects and contracts that public bodies want to deliver in the future, public sector commercial pipelines are a key tool for the confidence of investors, contractors, and the whole supply chain involved with government programmes – yet UK firms say their full potential is yet to be realised, and reassurance as companies deal with supply chain disruption and labour shortages is essential to keep investment rates growing.

The latest CBI briefing paper Preparing to Launch: How commercial pipelines can help drive UK growth demonstrates how small changes can deliver significant benefits and support the UK’s economic growth going forward.

Building on the CBI’s existing infrastructure policy work, based on feedback from industry leaders and government stakeholders, and utilising international examples, the paper argues that consistent, accessible, and up-to-date commercial pipelines create better outcomes for public bodies and suppliers. This encourages businesses to build the right team, prepare the right supply chain, and design the right solutions even before a project begins.

More effective pipelines not only give businesses the confidence they need to plan for the future, but it also ensures projects contribute to programmes like net zero and regional growth from the start.

Building on the guidance and best practice established by the Cabinet Office, HM Treasury, and the Infrastructure and Projects Authority, we identified three key areas of improvement for commercial pipelines:

• Giving industry clarity and confidence by updating pipeline frequently or ensuring projects are bankable
• Improving digital accessibility and data quality to make pipelines simple and straightforward to use
• Encouraging collaboration between industry and government and resourcing the pipeline owners to maximise their impact.

Read expert insight on the current situation, case studies of domestic and international best practice, and a clear overview of the challenges other business leaders are facing.

Next steps

We will continue engaging with the relevant government stakeholders to see how commercial pipelines can be reformed and in what timelines.

Got any thoughts? Share your comments or questions with Kate or Josh.