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Following the launch of the Procurement Act 2023 on 24 February 2025, we have answered frequently asked questions below to help you get to grips with the new regime.

Frequently Asked Questions

Why has the Act been introduced?

The Procurement Act 2023 introduces various advantages to streamline and enhance the overall procurement system, benefitting prospective suppliers of all sizes including small businesses, start-ups and social enterprises.

This includes making it easier for suppliers to bid and work in partnership with the public sector, through standardisation and streamlining of procurement processes, better oversight of procurement decisions and strengthening payment terms.

What are the benefits?

The new regime aims to:

• Create a simpler and more flexible commercial system that better meets the UK’s needs while remaining compliant with international obligations.
• Open up public procurement to new entrants such as small businesses and social enterprises so that they can compete for and win more public contracts.
• Implement stricter measures against underperforming suppliers and exclude those with unacceptable risks.
• Embed transparency throughout the commercial lifecycle so that the spending of taxpayers’ money can be properly scrutinised.

Do customers need to do anything?

If you're a new or existing customer of any ESPO frameworks, then you do not need to worry. Our expert procurement teams have worked tirelessly to ensure our customers continue to purchase from our catalogue and access frameworks as normal, safe in the knowledge that our processes are compliant with relevant UK legislation both before and after the new Act's launch date - 24 February 2025.

There will be a transitional period where ESPO’s suite of frameworks will include some governed by the existing Public Contract Regulations 2015, and some governed by the Procurement Act 2023. It is important that customers know the difference, as the regulations that apply to the framework agreement will apply to the call-off contracts awarded under that framework.

Do suppliers need to do anything?

For businesses supplying goods, works or services to public or utility sector organisations, you need to understand the changes regardless of which sector you supply.

The Cabinet Office has produced a range of resources to support suppliers with implementing the Act, including a run-through of the key changes being made, a live demonstration of the new central digital platform used to find and bid for contracts, and much more here.

Do contracting authorities need to do anything?

There are also additional requirements contracting authorities need to understand and comply with, including increased transparency.

Authorities will now need to publish additional notices on the Find a Tender service when awarding a contract under a framework agreement, which you can read more about on our dedicated hub.

What support is available?

In order to support our customers, ESPO will:

• Offer routes to market for awarding contracts in compliance with the new procurement regulations without conducting a full tender process.
• Clearly signpost which regulations apply to each of our frameworks and any call-off contracts our customers award under them.
• Provide guidance to customers on how to use frameworks governed by the new regulations.

For procurement practitioners, there are also knowledge drops and e-learning modules available to assist in adapting to and implementing the new Act - find out more about this here.

Quick links

• Preparing for Change: ESPO's Journey to the New Procurement Act 2023
• Information for SMEs
• Keeping up to date with the Procurement Act
• National Procurement Policy Statement

For anything else, please refer to our dedicated hub or get in contact with our procurement experts via frameworks@espo.org or 0116 265 7878.

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