The package of statutory instruments made in 2024 under the Procurement Act – including, for example, the Procurement Act 2023 (Commencement No. 1 and Transitional Provisions) Regulations 2024 (SI 2024/888) – provides the detailed framework necessary to operationalise the Procurement Act. Commentators often refer to the package collectively as the ‘Procurement Regulations 2024,’ but in fact, they comprise multiple statutory instruments (e.g., SI 2024/888, which covers commencement and transitional provisions).
For convenience, they are referred to collectively as the Procurement Regulations 2024 hereinafter, marking a significant development in the reform of public sector procurement in the United Kingdom. They represent not only an update to existing statutory frameworks but also a decisive shift towards greater accountability, fairness, and efficiency in public spending.
While building on long-standing principles rather than replacing them outright, the Regulations introduce clearer duties and operational requirements that strengthen how these values are applied in practice. Introduced to refine the Procurement Act 2023, these Regulations respond to long-standing criticisms of inconsistency and opacity in government contracting, while setting standards intended to align with global best practice. Their focus extends across ethics, digital transformation, and inclusivity.
At the heart of the new framework lies an effort to ensure that
procurement activities genuinely serve the public interest. The Regulations aim
to prevent the misuse of taxpayer funds, enhance stakeholder confidence, and
ensure that contracts are awarded based on merit rather than through personal
or political bias. This ambition aligns with broader reforms within the public
sector, where trust and value for money are becoming increasingly essential
metrics for success.
The procurement system has often been scrutinised due to high-profile
failures and perceived inefficiencies. Delays, inflated costs, and inadequate
oversight have historically eroded confidence in the process. By embedding
rules that emphasise ethics, transparency, and efficiency, the 2024 Regulations
address many of these shortcomings. They also establish a modernised regime in
which both large corporations and small enterprises can participate equitably.
In establishing this regulatory shift, the government has sought to
balance the competing demands of speed, cost-effectiveness, and accountability.
Public procurement accounts for a significant proportion of national
expenditure, and inefficiencies at this scale have tangible consequences for the
services and communities they support. The new Regulations therefore form a
cornerstone of efforts to modernise governance, foster fair competition, and
secure better value outcomes for society.
The Evolution of UK Public Procurement Law
Successive waves of legislative and political change have shaped public
procurement in the United Kingdom. For decades, procurement policy has been
influenced by European Union directives, which have imposed standard rules
across member states. Following the United Kingdom’s withdrawal from the
European Union, there was both the necessity and the opportunity to construct a
distinct domestic framework that reflected national priorities. This transition
culminated in the Procurement Act 2023, which consolidated and simplified
numerous strands of prior legislation.
The Procurement Act 2023 provided the structural foundation for the 2024
Regulations. It emphasised transparency, proportionality, and equal treatment
as guiding principles. However, critics argued that further specificity was
needed in areas such as ethical safeguards, digitalisation, and monitoring
compliance. The 2024 Regulations were therefore introduced to clarify and
extend the requirements, creating a practical and enforceable set of standards
for contracting authorities.
A significant legacy of the EU framework is the emphasis on open
competition and non-discrimination. These values continue to underpin the UK’s
approach, but the 2024 Regulations are designed to embed them more effectively
within local contexts. By reducing complexity and codifying more explicit
rules, the government aims to reduce opportunities for manipulation while
encouraging participation from a broader range of suppliers.
The transition from EU law to a distinctly UK model also demonstrates
the evolving nature of procurement as a discipline. It reflects a broader trend
across many jurisdictions, where procurement is no longer seen purely as a
bureaucratic function but as a strategic tool to deliver policy objectives,
stimulate innovation, and strengthen the economy.
Transparency and Accountability
Transparency forms the cornerstone of the 2024 Regulations. One of the
most pressing criticisms of previous systems was the perception that decisions
were often opaque, leaving suppliers uncertain about criteria and outcomes. The
new rules require contracting authorities to document decisions clearly,
publish specified contract details openly, and provide justifications for
significant awards. Such measures enhance accountability and limit the
potential for misuse of power.
A notable case highlighting the need for reform was the National Audit
Office’s investigation into procurement during the COVID-19 pandemic.
Allegations of preferential treatment and inadequate documentation of supplier
selection underscored systemic weaknesses. The 2024 Regulations directly
address these vulnerabilities by imposing stricter reporting requirements and
establishing a culture of openness.
Transparency also plays a crucial role in deterring corruption. When
processes are transparent to scrutiny, opportunities for undue influence are
diminished. Furthermore, accessible records enable oversight bodies, the media,
and civil society to hold authorities accountable. The Regulations thereby act
as a safeguard against reputational damage, legal disputes, and financial
waste.
Accountability extends beyond contract award to the entire procurement
lifecycle. The new framework requires regular performance monitoring and
contract management to ensure that suppliers deliver on their obligations. This
shift emphasises procurement not only as a gateway to contracts but as an
ongoing relationship in which public value must be consistently demonstrated.
Digital Transformation and E-Procurement
A defining feature of the 2024 Regulations is the progressive move
towards electronic procurement systems, with core processes mandated to be
conducted through digital platforms, subject to phased implementation and specific
exceptions. This represents a structural transformation in the way procurement
is conducted, moving from manual and paper-based methods towards digital
platforms that streamline processes. E-procurement reduces administrative
burden, accelerates timelines, and increases access for suppliers by making
procedures more standardised and user-friendly.
Digitalisation also strengthens traceability. Each stage of procurement,
from tender announcements to contract management, can be recorded and audited
in real time. This reduces the likelihood of errors or irregularities while
also providing data for policy analysis. For instance, the NHS Supply Chain has
demonstrated how centralised digital platforms can enhance oversight, reduce
duplication, and enable better negotiation with suppliers.
However, digital procurement is not without challenges. Smaller
authorities and suppliers may face challenges in adapting to technological
systems, particularly in regions with less developed digital infrastructure.
The Regulations, therefore, require investment in training and support to
ensure that digitalisation does not inadvertently exclude participants.
The emphasis on e-procurement also aligns the UK with global best
practice. Countries such as South Korea and Estonia have long demonstrated the
efficiency gains of digitalised procurement. By mandating electronic systems,
the 2024 Regulations signal a commitment to modern governance and international
competitiveness.
Ethical Standards and Professional Conduct
Ethical integrity lies at the centre of the 2024 reforms. Public
officials involved in procurement are expressly required to adhere to codes of
conduct that prohibit the acceptance of gifts or inducements from suppliers,
reinforcing obligations already reflected in broader legislation, such as the
Bribery Act 2010. They are also required to disclose any conflicts of interest
to prevent bias or the appearance of partiality. These measures echo the
provisions of the Bribery Act 2010, but apply them directly within procurement
contexts.
The drive for higher ethical standards arises from concerns over undue
influence and the erosion of public trust. By institutionalising clear
expectations, the Regulations seek to protect both the integrity of officials
and the confidence of suppliers. Ethical procurement also ensures that
contracts are awarded fairly, based on merit, and in alignment with the
principle of best value for money.
Case studies from local government highlight the dangers of weak ethical
safeguards. Instances of officials accepting hospitality or favouring
particular suppliers have undermined public trust and led to costly legal
disputes. The new framework establishes a preventative rather than reactive
approach, aiming to forestall misconduct through explicit rules and
accountability mechanisms.
Ethics also extends beyond conduct to encompass social responsibility. Contracting
authorities are encouraged, and in some contexts required under government
policy guidance, to consider sustainability, labour rights, and community
benefit as part of their procurement decisions. This reflects a broader global
trend in which procurement is not merely transactional but a vehicle for
advancing social and environmental goals.
Efficiency, Value for Money, and Supplier Diversity
Efficiency and value for money remain central priorities of the 2024
Regulations. Public procurement represents a significant portion of national
expenditure, and inefficient practices can have profound consequences. By
standardising procedures and promoting competition, the Regulations aim to
ensure that taxpayers’ money delivers maximum impact.
A critical dimension of efficiency is supplier diversity. Small and
medium-sized enterprises (SMEs) often face barriers to participation due to
complex processes or a lack of visibility. The Regulations simplify specific
documentation requirements and, together with government policy initiatives,
introduce more accessible platforms to broaden opportunities for smaller
businesses. This not only enhances competition but also stimulates local
economies and encourages innovation.
Value for money extends beyond the lowest cost. The new framework
emphasises whole-life value, considering factors such as sustainability,
service quality, and long-term outcomes. In infrastructure projects such as
HS2, debates about procurement highlighted the importance of balancing cost
efficiency with broader economic and environmental benefits.
By embedding these principles, the Regulations encourage authorities to
think strategically about procurement as a lever for innovation, inclusion, and
public value. This shift ensures that decisions consider not only immediate
financial savings but also wider societal returns.
Industry Applications and Case Studies
The implications of the Regulations can be observed in several sectors
where procurement plays a decisive role. In healthcare, the NHS has often faced
criticism for fragmented procurement systems and inefficiencies in supply chain
management. The adoption of digital platforms and stricter oversight offers
opportunities to streamline procurement, reduce costs, and improve patient
outcomes.
In local government, councils managing housing or infrastructure
projects must now apply the Regulations to ensure fair and transparent
contracting. Past controversies, such as irregularities in building maintenance
contracts, underscore the risks associated with inadequate oversight. More
explicit rules and accountability mechanisms provide safeguards against similar
failings.
Large-scale infrastructure projects also demonstrate the significance of
robust procurement. The lessons of Crossrail, where delays and budget overruns
prompted criticism, underline the importance of effective contract management
and supplier accountability. The 2024 Regulations institutionalise mechanisms
to mitigate such risks, reinforcing the connection between procurement quality
and project success.
The defence sector further illustrates the necessity of transparency and
efficiency. Procurement in this area involves significant public expenditure
and complex supply chains. Ensuring that contracts are awarded fairly and
managed rigorously not only protects public funds but also supports national
security.
Challenges in Implementation
Despite their ambition, the Regulations face significant obstacles. The
most immediate challenge is uneven capacity across public bodies. Larger
departments may adapt swiftly to digital platforms, while smaller authorities
often lack the expertise, funding, or infrastructure to comply fully. Without
targeted support, these disparities could widen, undermining consistency across
the system.
A second challenge lies in the cultural shift required of procurement
officials. Moving from paper-based, opaque practices to digital transparency
demands training, new skills, and, crucially, a change in mindset. If officials
view the reforms as bureaucratic box-ticking rather than genuine safeguards,
compliance risks become superficial.
The Regulations also introduce legal and operational complexity. While
they aim to simplify processes, the sheer volume of new duties may initially
overwhelm suppliers, particularly SMEs unfamiliar with statutory procurement
frameworks. This could inadvertently discourage the very diversity of suppliers
the reforms seek to promote.
Finally, international experience shows reform is rarely smooth. Canada
and Australia, for example, found that digital procurement required years of
investment in training, system upgrades, and stakeholder engagement. The UK
must anticipate similar teething problems. Without sustained investment and
active monitoring, the reforms risk producing more paperwork rather than
genuine transformation.
Implications for Public Services and Communities
The ultimate measure of procurement reform lies in its impact on public
services and the communities they serve. By reducing inefficiency and enhancing
accountability, the Regulations should enable resources to be deployed more
effectively. This has direct consequences for sectors such as healthcare,
education, and transport, where improved procurement translates into better
services.
Communities also benefit from greater inclusivity in procurement. When
SMEs and local enterprises gain access to contracts, economic growth becomes
more evenly distributed across the economy. This creates opportunities for
innovation, job creation, and regional development, reinforcing the social
value of procurement beyond financial metrics.
Sustainability and environmental goals further enhance the community
dimension. Authorities are encouraged to consider green procurement, ensuring
that contracts support the transition to a low-carbon economy. From renewable
energy projects to sustainable construction, procurement decisions can play a
pivotal role in advancing climate objectives.
In this way, the 2024 Regulations not only reform procedures but also
contribute to a vision of procurement as a public good. By linking contracting
decisions with social, environmental, and economic outcomes, they transform
procurement from an administrative necessity into a strategic instrument for
societal progress.
Summary - The Procurement Regulations 2024
The Procurement Regulations 2024 establish a framework that is more
transparent, ethical, and efficient than its predecessors. By building on the
Procurement Act 2023, they codify practices that reduce opportunities for
corruption and strengthen public trust. Through digital transformation, ethical
safeguards, and clearer accountability measures, the Regulations mark an essential
step in modernising UK public procurement.
However, their effect will depend on consistent application and
supporting guidance. Their success will depend on effective implementation
across diverse authorities and sectors. Challenges relating to capacity,
culture, and digital infrastructure must be addressed to ensure that the
potential of the Regulations is fully realised. International comparisons
indicate that ongoing investment and oversight will be essential.
The benefits of reform extend beyond administrative improvements. They
hold the promise of delivering more effective public services, stimulating
local economies, and supporting broader policy goals such as sustainability and
inclusivity. In this sense, procurement is redefined as a strategic instrument
of governance, rather than a mere procedural requirement.
Ultimately, the Procurement Regulations 2024 illustrate how legislative
reform can transform public administration. By embedding transparency, ethics,
and efficiency at the heart of procurement, they not only safeguard public
funds but also advance the wider public good. Their legacy will be measured by
the quality of services, the strength of communities, and the trust of the
public in government institutions.
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