Procurement Act 2023
PART 1Key definitions
1Procurement and covered procurement
2Contracting authorities
3Public contracts
4Valuation of contracts
5Mixed procurement: above and below threshold
6Utilities contracts
7Defence and security contracts
8Concession contracts
9Light touch contracts
10Mixed procurement: special regime contracts
PART 2Principles and objectives
11Covered procurement only in accordance with this Act
12Covered procurement: objectives
13The national procurement policy statement
14The Wales procurement policy statement
PART 3Award of public contracts and procedures
CHAPTER 1Preliminary steps
15Planned procurement notices
16Preliminary market engagement
17Preliminary market engagement notices
18Duty to consider lots
CHAPTER 2Competitive award
Terms of a procurement
19Award of public contracts following a competitive tendering procedure
20Competitive tendering procedures
21Tender notices and associated tender documents
22Conditions of participation
23Award criteria
24Refining award criteria
25Sub-contracting specifications
Exclusions and modifications
26Excluding suppliers from a competitive award
27Excluding suppliers from a competitive flexible procedure
28Excluding suppliers by reference to sub-contractors
29Excluding a supplier that is a threat to national security
30Excluding suppliers for improper behaviour
31Modifying a section 19 procurement
Reserving contracts to certain suppliers
32Reserving contracts to supported employment providers
33Reserving contracts to public service mutuals
Awarding contracts by reference to dynamic markets
34Competitive award by reference to dynamic markets
35Dynamic markets: establishment
36Dynamic markets: membership
37Dynamic markets: removing members from the market
38Dynamic markets: fees
39Dynamic market notices
40Qualifying utilities dynamic market notices: no duty to publish a tender notice
CHAPTER 3Direct award
41Direct award in special cases
42Direct award to protect life, etc
43Switching to direct award
44Transparency notices
CHAPTER 4Award under frameworks
45Frameworks
46Frameworks: competitive selection process
47Frameworks: maximum term
48Frameworks: implied terms
49Open frameworks
CHAPTER 5After award, standstill periods and notices
50Contract award notices and assessment summaries
51Standstill periods on the award of contracts
52Key performance indicators
53Contract details notices and publication of contracts
CHAPTER 6General provision about award and procedures
Time limits and termination
54Time limits
55Procurement termination notices
Technical specifications
56Technical specifications
Excluding suppliers
57Meaning of excluded and excludable supplier
58Considering whether a supplier is excluded or excludable
Debarment
59Notification of exclusion of supplier
60Investigations of supplier: exclusion grounds
61Investigations under section 60: reports
62Debarment list
63Debarment decisions: interim relief
64Debarment list: application for removal
65Debarment decisions: appeals
66Debarment proceedings and closed material procedure
PART 4Management of public contracts
Terms implied into public contracts
67Electronic invoicing: implied term
68Implied payment terms in public contracts
Notices about payments and performance
69Payments compliance notices
70Information about payments under public contracts
71Assessment of contract performance
Sub-contracting
72Sub-contracting: directions
73Implied payment terms in sub-contracts
Modifying public contracts
74Modifying a public contract
75Contract change notices
76Voluntary standstill period on the modification of contracts
77Publication of modifications
Terminating public contracts
78Implied right to terminate public contracts
79Terminating public contracts: national security
80Contract termination notices
PART 5Conflicts of interest
81Conflicts of interest: duty to identify
82Conflicts of interest: duty to mitigate
83Conflicts assessments
PART 6Below-threshold contracts
84Regulated below-threshold contracts
85Regulated below-threshold contracts: procedure
86Regulated below-threshold contracts: duty to consider small and medium-sized enterprises
87Regulated below-threshold contracts: notices
88Regulated below-threshold contracts: implied payment terms
PART 7Implementation of international obligations
89Treaty state suppliers
90Treaty state suppliers: non-discrimination
91Treaty state suppliers: non-discrimination in Scotland
92Trade disputes
PART 8Information and notices: general provision
93Pipeline notices
94General exemptions from duties to publish or disclose information
95Notices, documents and information: regulations and online system
96Electronic communications
97Information relating to a procurement
98Record-keeping
99Data protection
PART 9Remedies for breach of statutory duty
100Duties under this Act enforceable in civil proceedings
101Automatic suspension of the entry into or modification of contracts
102Interim remedies
103Pre-contractual remedies
104Post-contractual remedies
105Post-contractual remedies: set aside conditions
106Time limits on claims
107Part 9 proceedings and closed material procedure
PART 10Procurement oversight
108Procurement investigations
109Recommendations following procurement investigations
110Guidance following procurement investigations
PART 11Appropriate authorities and cross-border procurement
111Welsh Ministers: restrictions on the exercise of powers
112Northern Ireland department: restrictions on the exercise of powers
113Minister of the Crown: restrictions on the exercise of powers
114Definitions relating to procurement arrangements
115Powers relating to procurement arrangements
PART 12Amendments and repeals
116Disapplication of duty in section 17 of the Local Government Act 1988
117Single source defence contracts
118Concurrent powers and the Government of Wales Act 2006
119Repeals etc
PART 13General
120Power to disapply this Act in relation to procurement by NHS in England
120APower to disapply this Act in relation to procurement by NHS in Wales
121Power to amend this Act in relation to private utilities
122Regulations
123Interpretation
124Index of defined expressions
125Power to make consequential, etc, provision
126Extent
127Commencement
128Short title
SCHEDULES
SCHEDULE 1Threshold amounts
1(1) The threshold amount for a contract of a type...
2An appropriate authority may by regulations amend this Schedule for...
3An appropriate authority may by regulations amend this Schedule for...
4A contract is a “works contract” if its main purpose...
5(1) In this Schedule— “central government authority” means a contracting...
SCHEDULE 2Exempted contracts
PART 1Counterparty exempted contracts
1General
2Vertical arrangements
3Horizontal arrangements
4Defence and security contracts
5Utilities contracts
6(1) A utilities contract awarded for the supply of goods,...
PART 2Subject-matter exempted contracts
7General
8Land and buildings etc
9Broadcasting
10A contract for the broadcast (by any means) by a...
11Electronic communications services
12A contract the main purpose of which is permitting a...
13Alternative dispute resolution
14Legal services
15Financial services
16(1) A contract for the provision or carrying out of...
17A contract for the provision of services by the Bank...
18Employment
19Any other contract between a contracting authority and an individual...
20Emergency services
21Public passenger transport services
22Research and development services
23International agreements and organisations
24A contract awarded under a procedure— (a) adopted by an...
25National security
26Intelligence activities
27Defence and security contracts
28A defence and security contract where— (a) the supplier is...
29A defence and security contract awarded under a procedure adopted...
30A defence and security contract awarded under an arrangement between...
31Utilities contracts
32A utilities contract for the supply of water to a...
33A utilities contract for the supply of energy, or fuel...
34A contract for the supply of goods, services or works...
35Concession contracts
36(1) A concession contract that— (a) confers an exclusive right...
37A concession contract for the provision of public passenger transport...
38Commercial contracts of the City of London
SCHEDULE 3Estimating the value of a contract
1General rule
2Frameworks
3Concession contracts
4Anti-avoidance
5Cases where estimate not possible
SCHEDULE 4Utility activities
PART 1Activities that are utility activities
1Gas and heat
2Electricity
3Water
4Transport
5Ports and airports
6Extraction of oil and gas and exploration for, or extraction of, coal or other solid fuels
7Interpretation of Schedule
PART 2Activities that are not utility activities
8Generation of electricity in England, Scotland or Wales.
9Production of electricity in England, Scotland or Wales.
10Wholesale or retail sale of electricity in England, Scotland or...
11Wholesale or retail sale of gas in England, Scotland or...
12Exploration for oil in England, Scotland or Wales.
13Exploration for natural gas in England, Scotland or Wales.
14Production of oil in England, Scotland or Wales.
15Production of natural gas in England, Scotland or Wales.
16Development of infrastructure for production of oil in England, Scotland...
17Development of infrastructure for production of natural gas in England,...
SCHEDULE 5Direct award justifications
1This Schedule contains the direct award justifications.
2Prototypes and development
3In paragraph 2, “novel goods or services” means goods or...
4Single suppliers
5The following conditions are met in relation to the public...
6The following conditions are met in relation to the public...
7Additional or repeat goods, services or works
8The public contract concerns the supply of goods, services or...
9In paragraphs 7 and 8— “existing goods, services or works”...
10Commodities
11Advantageous terms on insolvency
12A supplier is “undergoing insolvency proceedings” if it has—
13Urgency
14For the purpose of paragraph 13, urgency is unavoidable if...
15User choice contracts
16In paragraph 15, “user choice services” means services—
17The conditions are that— (a) the individual to whom the...
18Defence and security
19(1) The following conditions are met in relation to the...
20The following conditions are met in relation to the public...
SCHEDULE 6Mandatory exclusion grounds
PART 1Offences
1A mandatory exclusion ground applies to a supplier if the...
2Corporate manslaughter or corporate homicide
3Terrorism
4Theft, fraud, bribery etc
5An offence at common law of conspiracy to defraud.
6An offence under any of the following sections of the...
7An offence under any of the following sections of the...
8An offence under section 3 of the Theft Act 1978...
9An offence under section 5 of the Theft (Northern Ireland)...
10An offence under Article 172 or 172A of the Road...
11An offence under section 58 of the Civic Government (Scotland)...
12An offence under section 113 of the Representation of the...
13An offence under section 178 of the Road Traffic Act...
14An offence under section 327, 328 or 329 of the...
15An offence under section 2, 3, 4, 6 or 7...
16An offence under section 993 of the Companies Act 2006...
17An offence under section 1, 2 or 6 of the...
18An offence under section 49 of the Criminal Justice and...
19Labour market, slavery and human trafficking offences
20An offence under the Employment (Miscellaneous Provisions) (Northern Ireland) Order...
21An offence under section 31(1) of the National Minimum Wage...
22An offence under the Gangmasters (Licensing) Act 2004 (offences relating...
23An offence under section 1, 2, 4 or 30 of...
24An offence under section 1, 4 or 32 of the...
25An offence under section 1, 2 or 4 of the...
26An offence under section 27 of the Immigration Act 2016...
27Organised crime
28An offence under section 45 of the Serious Crime Act...
29Tax offences
30(1) An offence under the law of any part of...
31An offence under section 45 or 46 of the Criminal...
32Cartel offence
33Ancillary offences
34Offences committed outside the United Kingdom
PART 2Other mandatory exclusion grounds
35National security
36Misconduct in relation to tax
37(1) A mandatory exclusion ground applies to a supplier if...
38(1) A mandatory exclusion ground applies to a supplier if—...
39(1) A mandatory exclusion ground applies to a supplier if...
40(1) A mandatory exclusion ground applies to a supplier if...
41Competition law infringements
42Equivalents outside the United Kingdom
43Failure to cooperate with investigation
PART 3General
44Excluded matters
45Definitions
SCHEDULE 7Discretionary exclusion grounds
1Labour market misconduct
2A discretionary exclusion ground applies to a supplier if the...
3A discretionary exclusion ground applies to a supplier if the...
4Environmental misconduct
5Insolvency, bankruptcy, etc
6A discretionary exclusion ground applies to a supplier if the...
7Potential competition infringements
8A discretionary exclusion ground applies to a supplier if the...
9(1) A discretionary exclusion ground applies to a supplier if—...
10(1) A discretionary exclusion ground applies to a supplier if...
11Professional misconduct
12Breach of contract and poor performance
13Acting improperly in procurement
14National security
15Excluded matters
16Definitions
17Other terms used in this Schedule and defined in Schedule...
SCHEDULE 8Permitted contract modifications
1Provided for in the contract
2Urgency and the protection of life, etc
3Assume, for the purposes of paragraph 2, that the contract...
4Unforeseeable circumstances
5Materialisation of a known risk
6In paragraph 5, a “known risk” means a risk that—...
7In considering whether awarding a new contract would be in...
8Additional goods, services or works
9Transfer on corporate restructuring
10Defence authority contracts
11A modification of a defence authority contract is a permitted...
SCHEDULE 9Treaty state suppliers (specified international agreements)
1The Agreement on Government Procurement signed at Marrakesh on 15...
2Agreement establishing an Association between the United Kingdom of Great...
3Trade Agreement between the United Kingdom of Great Britain and...
4Trade and Partnership Agreement between the Government of the United...
5Economic Partnership Agreement between the CARIFORUM States, of the one...
6Trade Agreement between the United Kingdom of Great Britain and...
7Agreement Establishing an Association between the United Kingdom of Great...
8Free Trade Agreement between the United Kingdom of Great Britain...
9Strategic Partnership and Cooperation Agreement between the United Kingdom of...
10Partnership, Trade and Cooperation Agreement between the United Kingdom of...
11Political, Free Trade and Strategic Partnership Agreement between the United...
12Agreement between the United Kingdom of Great Britain and Northern...
13Partnership, Trade and Cooperation Agreement between the United Kingdom of...
14Agreement on Trade Continuity between the United Kingdom of Great...
15Free Trade Agreement between the United Kingdom of Great Britain...
16Trade Continuity Agreement between the United Kingdom of Great Britain...
17Strategic Partnership, Trade and Cooperation Agreement between the United Kingdom...
18Free Trade Agreement between the United Kingdom of Great Britain...
19Trade and Cooperation Agreement between the United Kingdom of Great...
20Partnership, Trade and Cooperation Agreement between the United Kingdom of...
21Partnership, Trade and Cooperation Agreement between the Government of the...
22Free Trade Agreement between Iceland, the Principality of Liechtenstein and...
23Free Trade Agreement between the United Kingdom of Great Britain...
24Free Trade Agreement between the United Kingdom of Great Britain...
25Comprehensive and Progressive Agreement for Trans-Pacific Partnership, signed at Santiago...
SCHEDULE 10Single source defence contracts
1The Defence Reform Act 2014 is amended as follows.
2Definition of qualifying defence contract
3Pricing of qualifying defence contracts
4(1) Section 16 (pricing of contracts: supplementary) is amended as...
5After section 21(2) (final price adjustment) insert—
6In section 22(1)(a) (recovery of unpaid amounts), after “section” insert...
7(1) Section 42 (single source contract regulations: general) is amended...
8In section 43 (interpretation etc), at the appropriate place insert—...
9Contract profit rate
10(1) Section 18 (contract profit rate: supplementary) is amended as...
11(1) Section 19 (rates etc relevant to determining contract profit...
12Allowable costs
13Reports
14In section 43 (interpretation etc), in the definition of “financial...
15Qualifying sub-contracts
16In section 30(4)(a) (application of single source contracts regime to...
17In section 31(3) (compliance notices)— (a) in paragraph (e), omit...
18Powers of the Single Source Regulations Office (“SSRO”)
19After section 35 insert— Guidance The SSRO may issue such guidance as it considers appropriate...
20In paragraph 10(3) of Schedule 4 (procedure of the SSRO),...
SCHEDULE 11Repeals and revocations
1Primary legislation
2Sections 39 and 40 of the Small Business, Enterprise and...
3The Trade (Australia and New Zealand) Act 2023.
4Subordinate legislation
5The Public Contracts Regulations 2015 (S.I. 2015/102).
6The Concession Contracts Regulations 2016 (S.I. 2016/273).
7The Utilities Contracts Regulations 2016 (S.I. 2016/274).

Procurement Act 2023

2023 Chapter 54

An Act to make provision about procurement.

Be it enacted by the King’s most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—