New UK public procurement regime delayed to February 2025
Published on 12th Sep 2024
The government has pushed the implementation of the Procurement Act 2023 back by four months
The new public procurement regime being implemented by the Procurement Act 2023 will be delayed to 24 February 2025, the government has announced in a written statement.
The government explained that the reason for the delay is so it can rewrite the National Procurement Policy Statement, as the current statement "does not meet the challenge of applying the full potential of public procurement to deliver value for money, economic growth, and social value."
New 'go live' date
The current regulations will remain in place until the new commencement date, the government confirmed in its written statement issued on 12 September. The new regime will not come into effect next month and the current rules will apply to all new procurements commenced before the new "go live" date.
With guidance still outstanding on its central digital platform for information on public procurement, it is expected that the delay will allow the government more time to prepare its IT systems in order to allow for effective implementation of the digital platform.
Osborne Clarke comment
This announcement will leave authorities that had planned to commence procurements in the early months of the new regime with a decision to take – extend current arrangements (where lawful) and delay the procurement until after 24 February 2025 or forego the flexibility of the new Procurement Act and re-procure under the existing legislation.
Aside from those facing that dilemma, the delay is likely to be welcomed by both suppliers and contracting authorities who will now have a few extra months to prepare for the new changes being introduced. However, organisations should not take their "foot off the pedal" completely and should continue to upskill on the new regime and its implications for their business.
Please visit our "Navigating the changes under the Procurement Act" microsite for our insights on the new regime.
If you would like to discuss any of the new developments raised in this Insight, please get in touch with your usual Osborne Clarke contact, or one of the experts listed below.
