TRW & Co · Public procurement
Procurement Act 2023: What Suppliers Need to Know
The Procurement Act 2023 governs most public contracts in England, Wales and Northern Ireland started on or after 24 February 2025. It introduces the competitive flexible procedure, awards contracts to the most advantageous tender, requires notices across the contract lifecycle and creates a central debarment list. This guide explains what suppliers must do differently and how to challenge decisions.
Key pointThe eight-working-day standstill is the supplier's point of maximum leverage: issuing a claim and notifying the authority during standstill triggers an automatic suspension, but the 30-day limitation period can start running before the award notice is even published.
At a glance
In force since February 2025
Most provisions came into force on 24 February 2025 with the Procurement Regulations 2024; earlier procurements continue under the old regulations.
Two competitive procedures
The open procedure and the competitive flexible procedure, which authorities design themselves provided it is proportionate to the contract.
Most advantageous tender
Contracts go to the tender that meets requirements and best satisfies the published award criteria, assessed using the stated methodology and weightings.
Central digital platform
Suppliers register once on the platform, which combines Find a Tender with a Supplier Information Service used for exclusion checks.
Short challenge deadlines
Standstill is eight working days, and most claims must be issued within 30 days of knowledge of the breach.
Swipe or scroll →
The short answer: what the Procurement Act 2023 means for suppliers
The Procurement Act 2023 replaced the EU-derived public procurement rules in England, Wales and Northern Ireland. Most of it came into force on 24 February 2025, together with the Procurement Regulations 2024. Procurements started on or after that date run under the new regime; those started earlier continue under the old regulations until they finish.
For suppliers, five changes matter most. There are now two competitive procedures, the open procedure and a highly flexible competitive flexible procedure. Contracts are awarded to the "most advantageous tender" rather than the "most economically advantageous tender". Far more information is published, through a series of notices across the whole life of a contract. Suppliers register once on a central digital platform. And a new debarment regime lets ministers bar suppliers from public contracts.
The Act also retains, with changes, the remedies regime. The standstill period is now eight working days, and the deadlines for bringing a challenge are short. Suppliers who understand the timetable are far better placed to protect their position.
What the Act replaced
The Procurement Act 2023 revoked the Public Contracts Regulations 2015, the Utilities Contracts Regulations 2016, the Concession Contracts Regulations 2016 and the Defence and Security Public Contracts Regulations 2011, bringing these regimes into one framework with special rules for utilities, defence and concessions. Devolved Scottish authorities are generally outside the Act and continue under Scotland's own procurement legislation.
The legal framework under the Procurement Act 2023
The Procurement Act 2023 sets out the core duties. The Procurement Regulations 2024 add detail, particularly on the content of notices and the central digital platform. The Cabinet Office has published a suite of guidance documents that contracting authorities follow, and suppliers can use it to understand what an authority should be doing.
Contracting authorities must have regard to procurement objectives, including delivering value for money, maximising public benefit, sharing information and acting with integrity. Above-threshold procurements also require authorities to have regard to barriers facing small and medium-sized enterprises. Authorities in England must have regard to the National Procurement Policy Statement, with a separate Wales procurement policy statement for devolved Welsh authorities.
Covered procurement and thresholds
The full regime applies to "covered procurement" of public contracts at or above financial thresholds set out in Schedule 1 to the Act, which are adjusted periodically. Certain contracts, such as some land transactions, legal services and employment contracts, are exempt. Below-threshold contracts are subject to lighter rules, including duties to publish certain notices for contracts above a lower value. Suppliers should check the current threshold figures on GOV.UK before assuming a contract is in or out of scope.
Procedures: open, competitive flexible and direct award
Section 20 of the Act provides for two competitive tendering procedures. The open procedure is a single stage in which any supplier may tender. The competitive flexible procedure is any other procedure the authority considers appropriate, provided it is proportionate to the nature, complexity and cost of the contract.
The competitive flexible procedure is the biggest practical change. An authority can design stages to suit the contract: a selection stage, rounds of negotiation, dialogue, demonstrations or prototypes, and refinement of award criteria. It can limit the number of suppliers at each stage. The procedure must be set out in the tender notice and associated tender documents, so suppliers should read them carefully and raise clarification questions early.
Direct award
A contract can be awarded directly without competition only in specified circumstances, such as extreme urgency, where only one supplier can deliver, or to protect life. Before a direct award, the authority must publish a transparency notice under section 44. That gives competing suppliers an opportunity to scrutinise the justification, and to challenge it if they think it is wrong.
Frameworks and dynamic markets
Frameworks continue, with a general maximum term set by the Act and new "open frameworks" that can be reopened to new suppliers at set points. Dynamic markets replace dynamic purchasing systems and qualification systems. Joining these arrangements early can be the main route to winning repeat work.
| Route | When used | Key points for suppliers |
|---|---|---|
| Open procedure | Straightforward requirements | Single stage; any supplier may bid; minimum time limits apply |
| Competitive flexible procedure | Complex or innovative requirements | Authority designs the stages; may shortlist and negotiate; read the tender documents closely |
| Direct award | Limited justifications, such as urgency or a single capable supplier | Transparency notice published first; scrutinise the justification |
| Framework call-off | Repeat or common requirements | Must be on the framework; open frameworks reopen periodically |
| Dynamic market | Recurring purchases | Membership based on conditions of participation; apply to join |
Most advantageous tender and the notice lifecycle
Under section 19, an authority may award a contract to the supplier that submits the most advantageous tender. That is the tender that satisfies the authority's requirements and best satisfies the award criteria, assessed by the published methodology and weightings. Price remains relevant, but authorities have more freedom to weigh social value, quality and delivery risk.
Authorities may disregard a tender that is abnormally low, but only after notifying the supplier and giving it a reasonable opportunity to show it can perform at that price. They may also disregard tenders from suppliers that are not UK or treaty state suppliers.
A notice at every stage
Transparency is the theme of the Procurement Act 2023. Depending on the contract, an authority may publish:
- pipeline notices for larger authorities' planned spend;
- planned procurement and preliminary market engagement notices;
- tender notices, and transparency notices before a direct award;
- contract award notices, supported by assessment summaries sent to bidders;
- contract details notices and, for larger contracts, the contract itself;
- notices of key performance indicators, payments compliance, contract changes and termination.
Section 52 requires an authority to set and publish at least three key performance indicators for contracts with an estimated value of more than £5 million, subject to exceptions. Performance against them is assessed and published. Poor performance can feed into the discretionary exclusion grounds, so suppliers should manage KPI reporting carefully.
The central digital platform
Notices are published on the central digital platform, which comprises an enhanced Find a Tender service and a Supplier Information Service. Suppliers register once and keep core information, such as ownership, connected persons and exclusion declarations, up to date. Authorities rely on that information when deciding whether a supplier is excluded or excludable.
Treat your Supplier Information Service record as a compliance document. Information on connected persons and exclusion grounds is shared across bids, so an error or omission can affect every tender you submit.
Exclusion and the debarment list
The Act distinguishes between "excluded" suppliers, which must be excluded, and "excludable" suppliers, which may be excluded. Mandatory grounds include serious offences such as bribery and fraud. Discretionary grounds include certain breaches of competition or environmental law, professional misconduct and poor performance of previous contracts.
Crucially, exclusion depends on whether the circumstances are likely to occur again. Evidence of self-cleaning, such as remedial action, compliance programmes and changes in management, can prevent exclusion. Grounds can also apply through connected persons and associated suppliers, including sub-contractors.
Ministers can investigate suppliers and add them to a central debarment list under section 62. The supplier must receive notice and has an eight-working-day debarment standstill period in which to seek interim relief. Authorities must take the list into account. Our guide to the procurement debarment list explains the process and how to respond.
Standstill, challenges and time limits
Under section 51, an authority may not enter into most contracts until a mandatory standstill period of eight working days has passed, beginning with the day the contract award notice is published. Some awards, such as frameworks call-offs and certain direct awards, are exempt, though a voluntary standstill may be offered.
If a supplier starts proceedings during standstill and the authority is notified, an automatic suspension prevents the contract being signed until the court decides otherwise. That makes the standstill window the moment of maximum leverage for an unsuccessful bidder.
Tight deadlines
Time limits are strict. Under section 106, most claims must be started within 30 days of the day the supplier knew, or ought to have known, of the circumstances giving rise to the claim. Claims to set aside a contract signed without a required contract details notice, or a modification, must also be brought within six months of the contract or modification. The court can extend some limits for good reason, but never beyond three months from knowledge.
- Read the assessment summary. As soon as the contract award notice is published, review the assessment summary for your bid and the winning bid against the published criteria.
- Request information quickly. Ask the authority targeted questions about scoring and methodology. Do not let correspondence delay a decision on proceedings.
- Diarise the deadlines. Note the end of standstill and the 30-day limitation period from knowledge. Both can be shorter than they appear.
- Assess the merits. Identify specific breaches, such as unpublished criteria, inconsistent scoring or failure to investigate an abnormally low tender.
- Decide on proceedings. If the case is strong, issue proceedings in the High Court and notify the authority during standstill to trigger automatic suspension.
- Prepare for the suspension fight. Expect the authority to apply to lift the suspension; be ready to show damages are not an adequate remedy.
Our guide on how to challenge a procurement decision covers the litigation steps in detail. Some decisions outside the Act, such as broader policy choices by public bodies, may instead be challenged by judicial review.
An illustrative scenario
This example is illustrative only and uses generic parties. A mid-sized facilities management company bids for a regional public sector contract run under the competitive flexible procedure. The authority shortlists three bidders after a first round, holds negotiation sessions and then invites final tenders.
The company loses narrowly. On reading the assessment summary, it sees that the authority scored a social value sub-criterion that was not described in the tender documents. It asks focused questions on day two of standstill, takes advice and, on day six, issues a claim and notifies the authority, triggering automatic suspension.
The authority applies to lift the suspension. The court weighs the adequacy of damages and the public interest in the contract proceeding. Whatever the outcome, the company acted within time, preserving its position, and the authority later reruns part of the evaluation. The lesson is that the Procurement Act 2023 rewards suppliers who move quickly and focus on specific, documented errors.
Common mistakes suppliers make
Assuming old habits still apply
Many bid teams still think in terms of the restricted procedure, competitive dialogue and the most economically advantageous tender. The competitive flexible procedure can look very different from one authority to the next, and the award criteria may give more weight to social value or delivery risk than suppliers expect.
Read every tender notice and associated document afresh, and map the stages, deadlines and criteria before committing bid resources.
Letting the challenge clock run
The 30-day limit runs from when the supplier knew or ought to have known of the breach, which can be earlier than the contract award notice. Suppliers who wait for full answers from the authority or try to resolve matters informally can find themselves out of time.
Raise concerns as they arise, keep a log of key dates and take advice as soon as a potential breach appears.
Neglecting exclusion and self-cleaning evidence
An investigation, settlement or poor performance on another public contract can raise an exclusion ground. Suppliers that cannot show remedial steps risk exclusion or even debarment, and the effects spread across every bid through the central platform.
Keep a current self-cleaning file, review connected person data and respond promptly and fully to any authority enquiry about exclusion grounds.
Ignoring contract management duties
The new regime continues after award. KPIs, payment reporting and contract change notices are published, and authorities must assess and publish performance on larger contracts. Breaches or persistent underperformance can count against a supplier in future competitions.
Build KPI reporting into contract management, track payments to sub-contractors and review proposed contract changes for compliance. Our guide to outsourcing contract key terms covers the commercial side.
International and cross-border suppliers
Suppliers from countries with which the UK has relevant international procurement obligations, known as treaty state suppliers, are entitled to equal treatment in covered procurements. Authorities may disregard tenders from suppliers that are neither UK nor treaty state suppliers. International bidders, including those from Bangladesh, the Gulf or Asia, should check their status for each procurement and consider bidding through a UK entity.
Overseas groups should also review connected person information carefully, as exclusion grounds can be triggered by conduct elsewhere in the group. Where public funding is involved, the separate subsidy control regime may also be relevant.
Checklist: preparing for the new regime
- Register on the central digital platform and keep Supplier Information Service data current.
- Brief bid teams on the open and competitive flexible procedures and the most advantageous tender test.
- Set up alerts for pipeline, planned procurement and tender notices in your sector.
- Maintain a self-cleaning and exclusion-risk file.
- Build KPI and payment reporting into contract management.
- Agree an internal protocol for reviewing award decisions within standstill.
TRW & Co's London office is authorised and regulated by the Solicitors Regulation Authority. Our public procurement team advises suppliers on bids, exclusion and debarment risk, and challenges under the Procurement Act 2023. Where advocacy in the higher courts is required, we instruct specialist counsel. To discuss a procurement, contact us at info@trw.co or +880 1779 127165.
Frequently asked questions
01When did the Procurement Act 2023 come into force?
The Act received Royal Assent in October 2023 and most of its provisions came into force on 24 February 2025, together with the Procurement Regulations 2024. Procurements started on or after that date must follow the new regime. Procurements started before it, including frameworks set up under the old rules and call-offs under them, generally continue under the Public Contracts Regulations 2015 and the other previous regulations until they end.
02What is the competitive flexible procedure?
It is one of the two competitive tendering procedures under section 20 of the Act. The authority designs the procedure itself, which may include selection stages, negotiation, dialogue and refinement of award criteria, and may limit the number of suppliers at each stage. It must be proportionate to the nature, complexity and cost of the contract and must be described in the tender notice and associated tender documents, so suppliers know the rules in advance.
03What does most advantageous tender mean?
Under section 19, the most advantageous tender is the one that the authority considers satisfies its requirements and best satisfies the award criteria, assessed by reference to the published methodology and the relative importance of the criteria. It replaces the most economically advantageous tender test. Price is still relevant, but authorities have more scope to give weight to quality, social value and delivery risk, provided the criteria are clear and published.
04How long is the standstill period?
For most contracts the mandatory standstill period is eight working days, beginning with the day the contract award notice is published. The authority cannot enter into the contract until it ends. Some contracts, including framework call-offs and certain direct awards, are exempt, but an authority may provide a voluntary standstill of at least eight working days. Issuing proceedings and notifying the authority during standstill triggers an automatic suspension.
05How long do I have to challenge a procurement decision?
Most claims under the Act must be started within 30 days of the day the supplier knew, or ought to have known, of the circumstances giving rise to the claim. Claims to set aside a contract made without a required contract details notice, or a modification, also have a six-month long-stop. The court can extend some limits for good reason, but not beyond three months from knowledge. Take advice as soon as a concern arises.
06What is the procurement debarment list?
It is a list kept by a Minister of the Crown of suppliers that have been investigated and found to be excluded or excludable on particular grounds. Before adding a supplier, the Minister must give notice and allow an eight-working-day debarment standstill period, during which the supplier can apply for interim relief. Contracting authorities must take the list into account, so debarment can affect access to public contracts across the UK regime.
Sources and official materials
- Procurement Act 2023 — The Act, including procedures, notices, exclusions and remedies
- The Procurement Regulations 2024 — Detailed rules on notices and the central digital platform
- Procurement Act 2023: guidance documents — Cabinet Office guidance for contracting authorities
- Find a Tender service — Central digital platform for notices and supplier registration
- Procurement Act 2023, section 106 — Time limits on claims
General information only, current as at 21 October 2026. It is not legal advice and does not create a solicitor–client relationship. It reflects the law of England and Wales unless stated otherwise; Scotland and Northern Ireland have separate legal systems, and the law changes frequently. Check current official sources and take advice on the facts of your matter.