Thoughts From H & J Martin – Perspective on the Procurement Act 2023: Striking the Right Balance for Public Sector Success
The Procurement Act 2023, came into effect in February 2025, which marked a major shift in the UK’s public procurement landscape. With a focus on transparency, SME inclusion, and social value, the Act aims to make procurement more accessible and efficient. However, as a business deeply embedded in public sector procurement, H&J Martin Group believes that while these changes are largely positive, there are areas that require further refinement to ensure that the procurement process is as practical, sustainable, and effective as possible.
Balancing Transparency with Efficiency
One of the standout features of the Act is its increased transparency across the procurement lifecycle. The upgraded ‘Find a Tender’ service and a more streamlined compliance process should make procurement more accessible and reduce administrative burden.
However, there is a risk that greater oversight could slow down decision-making, leading to delays in urgent projects. While transparency is critical, the procurement process must remain agile. In sectors like healthcare, education, and infrastructure, delays in contract awards could impact the timely delivery of essential services. We advocate for clearer procurement timelines and the introduction of expedited procedures for projects deemed time-sensitive.
Encouraging Sustainable and Long-Term Partnerships
A key challenge with public sector procurement has always been the balance between cost efficiency and quality. While the new framework promotes competitive bidding, there is a risk that contracts could be awarded based on short-term cost savings rather than long-term value.
At H&J Martin Group, we firmly believe that public contracts should not focus solely on the lowest bid, but rather on a whole-life value approach. We advocate for contracts that reward suppliers with a proven track record of delivering high-quality, sustainable, and efficient solutions. This ensures that public sector assets are not just built or maintained at the lowest cost, but are built to last and deliver long-term benefits to the communities they serve.
Raising Standards for Social Value in Procurement
The Procurement Act 2023 places a greater emphasis on social value, which is a positive step. However, there remains a lack of standardisation in how social value is measured across tenders.
H&J Martin Group has long been committed to delivering social value through local employment, apprenticeships, and sustainability initiatives via our H&J Martin Academy. However, we believe that procurement bodies should introduce standardised social value metrics, ensuring that tenders can be evaluated fairly and consistently. If contracting authorities can define clearer benchmarks, suppliers will be able to align their corporate social responsibility efforts with the government’s goals more effectively.
Bridging the Gap for SMEs Without Compromising on Experience
A major goal of the Procurement Act is to make it easier for small and medium-sized enterprises (SMEs) to win public contracts. This is an important move toward a more diverse supply chain, but it also presents potential challenges.
While SME inclusion is essential, it is equally important that larger, experienced firms are not overlooked. Public contracts—particularly in sectors like facilities management, infrastructure, and security—require not just cost-competitive bids, but also operational capacity, risk management expertise, and long-term stability.
We believe that procurement frameworks should encourage collaborative partnerships between SMEs and larger firms. Instead of an ‘either-or’ approach, there should be incentives for joint ventures, where SMEs can gain experience and scale up, while larger firms bring stability and expertise to ensure projects are delivered on time and within budget.
Leveraging Technology for Smarter Procurement
Despite the Act’s modernisation efforts, there is limited discussion on the role of technology in streamlining procurement processes.
At H&J Martin Group, we see digital transformation as the next frontier in public sector procurement. The use of AI-driven risk analysis, digital contract management, and automated compliance tracking could vastly improve efficiency, reduce paperwork, and prevent delays. We encourage the public sector to look at private-sector best practices in digital procurement and supply chain management to further improve processes.
Championing a Performance-Based Procurement Model
While the Procurement Act 2023 aims to improve supplier accountability, much of its framework remains process-driven rather than outcome-driven.
At H&J Martin Group, we advocate for a performance-based procurement model, where contracts are awarded not just based on compliance but on proven results. This could include clear key performance indicators (KPIs) around delivery times, service quality, sustainability goals, and cost-effectiveness over the lifecycle of the contract.
Public procurement should reward those who can consistently deliver quality outcomes, not just those who can complete paperwork effectively.
Final Thoughts
The Procurement Act 2023 is a step in the right direction, making public procurement more transparent, competitive, and socially responsible. However, practical challenges remain, and at H&J Martin Group, we believe that procurement processes should be efficient, technology-driven, and focused on long-term value rather than just short-term cost savings.
As a company with extensive experience in public sector procurement, we are committed to working with clients, partners, and government bodies to ensure that the changes introduced by the Procurement Act truly deliver on their promise—creating a stronger, fairer, and more effective public procurement system.
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