Simplified procurement practices will benefit local businesses - O’Dowd
Date published:
Finance Minister John O’Dowd today updated business representatives on increases to procurement control limits for firms involved in government contracts up to £50,000.
The Minister was speaking at a roundtable with business bodies and representatives.
Commenting after the meeting, Minister O’Dowd said: “It is widely accepted current procurement limits have not kept up with inflationary uplifts over recent years.
“Introducing these changes will help speed up the procurement process with the increased limits enabling departments, and the wider public sector, to make more local spending decisions.
“The changes will allow public bodies to target spend towards micro businesses and the voluntary, community and social enterprise sectors which deliver vital services in our communities.”
The Minister added: “I am committed to ensuring our procurement practices are simplified and are easily accessible for businesses. I believe this change is a step in the right direction, streamlining procurement practices and delivering for local businesses.
“These changes will make it easier for the public sector to do business and importantly for businesses to bid, negotiate and work in partnership with the public sector.”
Notes to editors:
- More information on the changes is available online at: Procurement Policy Note (PPN) 04/21 Procurement Control Limits Frequently Asked Questions (FAQs) | Department of Finance
- Due to the specialist nature of their work, Utilities and the Department of Health had higher Procurement Control Limits in previous versions of the Procurement Control Limits and these increased levels have been maintained.
- Key changes are an increase in the lower threshold from £5,000 to £10,000 for all sectors except for Health Bodies which will see an increase from £10,000 to £20,000. The threshold for advertising tenders will increase from £30,000 to £50,000 for all sectors except for Utilities which will see an increase from £50,000 to £65,000.
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