On average the UK Government spends £292 billion a year, more than a third of all public spending, on procuring goods, works and services from external suppliers. This money generates over 50,000 new business opportunities a year for many different industries.
What is the Public Sector?
The Public Sector is typically made up of not-for-profit organisations owned by central, national and local governments, for the benefit of their citizens. They cover areas such as defence, education, fire services, healthcare, police and refuse collection.
As the public sector relies on public funding to make decisions, they are required to ensure their financial decisions are made respectfully, encourage free and open competition, achieve best value for money, and ultimately benefit the public.
Reasons to tender for public sector work
- All contracts must be open and accessible – meaning no matter what size your business is, if you meet the criteria and can deliver the tender requirements, you have a fair chance of winning the work. This is different to private procurement where the buyer can choose who to inform of their procurement needs, and who to do business with.
- The public sector wants to award work to SMEs – by 2022 the UK Government wants 33% of all public contracts to awarded to SMEs. SMEs make up 99% of all UK businesses and are vital for the economy.
- 30 day payment period – all invoices for contracted work must be processed by public bodies within 30 days of receiving them, ensuring businesses get paid promptly. Lengthy payment periods can be an issue within the private sector, where larger businesses can dictate when they issue payment.
- Transparent Tendering process – nothing is hidden in public procurement, decisions made are transparent, and suppliers will receive feedback if they did not win a contract. Private buyers do not have to make their processes public, and have no obligations to provide feedback to suppliers.
- Most Economically Advantageous Tenders (MEAT) – is the chosen method of proposal assessment, meaning contract awards are not just based on price, and consider the wider aspects of tender submissions. Social Value is a major consideration in contract awards, and with the Procurement Policy Note – Taking Account of Social Value in the Award of Central Government Contracts, five key themes have been highlighted for central government contracts: COVID-19 recovery, tackling economic inequality, fighting climate change, equal opportunity, and wellbeing.
- Continuously improving processes – to make bidding for work easier and less time consuming, the public sector continually work to improve their processes. Single Procurement Documents are a great example – where these are used, only the winning bidder needs to provide the required documents, saving you significant time and effort.
Finding public Sector Work
The public sector offers a reliable source of new business.
From stationary to infrastructure and everything in between, the public sector needs suppliers like you. All notices must be publicly accessible online no matter the size, for any supplier to view and bid for.
There are thousands of portals through which public bodies can publish their notices and you can spend a significant amount of time and effort trying to locate opportunities relevant to your business. Thankfully, Tenders Direct eliminates your need to search for tenders by collating every UK and ROI notice in one place, and alerting you to those relevant to your business.
Tender Direct guarantees you will never miss a public sector notice.
Request a demo today and discover all the opportunities you could be bidding for.