What the Procurement Act 23 means for Welsh Public Sector Procurement
The upcoming Procurement Act 2023, due to come into force on 24th February 2025, is set to bring significant changes to the public procurement landscape across the UK, including Wales. As we prepare for its implementation, it’s important for public sector organisations, suppliers, and stakeholders to understand its implications and how it will affect procurement processes moving forward.
What does the Procurement Act 2023 do?
The Procurement Act 2023 is designed to streamline procurement, promote transparency, and encourage better value for public spending. It introduces new rules governing how public contracts are awarded and managed, with a focus on efficiency, competition, and supplier engagement.
Notably, the Act sets out a move away from assessing bids on ‘most economically advantageous tender’ (MEAT) to ‘most advantageous tender’ (MAT), promoting a procurement approach which does not solely consider price. Welsh contracting authorities will need to navigate the new procurement rules while ensuring alignment with Wales-specific procurement policies and regulations.
For contracting authorities and suppliers operating in Wales, specific guidance is available to ensure compliance with Welsh procurement policies. Rather than duplicating this guidance here, we encourage stakeholders to refer to the relevant official Welsh Government resources to understand the unique provisions applicable in Wales.
Transition period: Existing contracts remain unchanged
A key point to note is that any call-off contracts under existing frameworks will continue to operate under the Public Contracts Regulations 2015 (PCR 2015). This means that organisations currently using frameworks do not need to make immediate changes to their procurement processes. The familiar provisions of PCR 2015 remain in place for those contracts until they expire.
As new WPA frameworks are developed, they will align with the regulations introduced under the Procurement Act 2023. This transition represents an opportunity for contracting authorities to familiarise themselves with the new rules while continuing to benefit from WPA frameworks designed to support compliance and best practice.
How to stay informed
While the Procurement Act 2023 introduces a new procurement regime, there is a period of adjustment before organisations must fully adopt the changes. Clients and suppliers should use this time to review the available guidance, consider how the reforms may impact their procurement strategies, and prepare for future WPA frameworks operating under the new legislation.
Navigating the evolving procurement landscape can be complex, but the WPA team is here to support you. If you have any questions about the Procurement Act 2023, its impact on your procurement activities, or how WPA frameworks can help you stay compliant, contact us to discuss your needs.