Drawing on a recent survey of local businesses, BBF’s submission highlights staunch support for measures that promote the inclusion of local small and medium-sized enterprises (SMEs) and voluntary, community, and social enterprises (VCSEs) in public contracts.

Key findings and views from Buckinghamshire's business community

Our survey found that most respondents agreed with mandating large contracting authorities to set three-year targets for procurement spend with SMEs and VCSEs, and to publish annual progress. Businesses believe such targets would drive greater inclusivity and help overcome the tendency to prioritise economies of scale over local procurement.

Our research also found that the leading obstacles for SMEs are information and policy barriers, rather than a lack of suitability to supply the public sector. Many businesses cited difficulties in finding available contracts and navigating complex procurement processes. There is also a perception that strict requirements and closed processes discourage competition and favour existing suppliers.

Simplification and fairness are a must

BBF urges contracting authorities to simplify procurement processes, make requirements proportionate to contract size, and support joint ventures among small businesses. Reserving smaller contracts for SMEs would encourage more businesses to bid, increasing competition and local economic benefit.

In addition, our response supports extending transparency requirements, including publishing all payments made under public contracts. While this is not the main barrier to SME inclusion in public contracts, greater transparency would help demonstrate fairness and encourage competitive bidding. Businesses raised concerns about tax practices and mid-contract price increases by large suppliers impacting their ability to be competitive, underscoring the need for openness.

Flexibility for SME prompt payment compliance

BBF generally agrees with proposals to exclude suppliers from major contracts if they cannot demonstrate prompt payment to their supply chains. However, BBF recommends that smaller businesses could be subject to exemptions, as their costs of compliance may create new barriers to entry. The policy should be proportionate, holding larger businesses accountable while minimising compliance costs for SMEs.

We also strongly agreed with proposals to require contracting authorities to set award criteria and KPIs related to jobs, opportunities, and skills, with a minimum evaluation weighting of 10% for contracts over £5m. Standardising social value metrics and allowing authorities to specify the geographical location of social value delivery are also welcomed. BBF highlights the importance of proportionate, accessible metrics, making processes clearer and easier to follow. We also recommend that businesses collaborate with local organisations to maximise impact.

A clear appetite for positive change

Our response, informed by feedback from businesses, reflects a clear appetite among Buckinghamshire businesses for procurement reforms that foster SME participation, transparency, prompt payment, and social value. The recommendations aim to make public procurement, by both national government and local authorities, more accessible, competitive, and beneficial for the local economy.

To learn more about the consultation, and to get updates on the outcome, visit the government's public procurement consultation page.

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Buckinghamshire Business First is the primary source of insights from the business coalface. This intelligence is used to ensure strategies and policies are based on robust evidence and to ensure government at all levels is aware of the economic issues facing Buckinghamshire’s communities.