The biggest overhaul of UK public procurement in a generation went live on 24 February 2025, when the Procurement Act 2023 came into force. If your business sells — or wants to sell — to the public sector, here is what actually changed, in plain English.
At a glance
- The Procurement Act 2023 came into force on 24 February 2025.
- It replaced the Public Contracts Regulations 2015, along with the Utilities Contracts Regulations 2016 and the Concession Contracts Regulations 2016.
- Procurements that started before 24 February 2025 continue to run under the old rules.
- It is explicitly designed to open up public contracts to small businesses and social enterprises (VCSEs).
- It does not apply to devolved Scottish authorities — Scotland keeps its own procurement rules.
What is the Procurement Act 2023?
The Act is a single, new rulebook for how most public bodies in the UK buy goods, services and works. It is the centrepiece of the government's "Transforming Public Procurement" programme, which set out to make the system simpler, more transparent, and more open to new entrants.
Crucially, it replaced the previous regime built around the Public Contracts Regulations 2015 (PCR 2015). One important transitional rule: any procurement that was already underway before 24 February 2025 continues under the old regulations, so for a while the two systems run side by side.
Who does it apply to?
Procurement is a devolved matter, so the picture differs across the UK:
- England and UK-wide/central government bodies follow the Act.
- Wales — devolved Welsh authorities are regulated by the Act, but with some differences (for example, the National Procurement Policy Statement does not apply to devolved Welsh procurements).
- Northern Ireland — transferred NI authorities are regulated by the Act, again with some differences.
- Scotland — devolved Scottish authorities are excluded. Scottish procurement legislation continues to apply instead.
If you sell across borders, it is worth knowing which regime a given buyer sits under. (Our guide to tendering across the UK covers the four nations in more detail.)
What changed for small businesses?
This is the part that matters most if you are an SME. The Act includes several measures aimed squarely at lowering the barriers smaller suppliers face:
- 30-day payment terms. The Act strengthens prompt-payment rules throughout the supply chain, so 30-day payment terms apply to a broader range of public-sector contracts.
- Fewer bureaucratic barriers for smaller businesses and VCSEs, so they can compete for more contracts.
- More open frameworks. Commercial frameworks are designed to be more open, so prospective suppliers are not shut out for long periods. (See our guide to framework agreements.)
- Better feedback. Contracting authorities must provide assessments of final tenders, so you can understand how your bid was scored.
The new "competitive flexible procedure"
The Act introduces a new competitive flexible procedure designed to simplify and give buyers more freedom in how they run a competition, alongside a standard open procedure. In practice this means the exact shape of a tender process can vary more from contract to contract — so reading each notice and tender document carefully matters more than ever.
Registering on Find a Tender
Under the new regime, public contract notices are published through an enhanced Find a Tender service, which is the public face of the new central digital platform. It is free to use for everyone.
Suppliers register their organisation once and store their core business details to reuse across multiple bids. Existing Find a Tender users from the old service need to re-register. There is no rush — you only need to register at the point you want to bid. We cover this in detail in What is the Central Digital Platform?.
A new watchdog: the Procurement Review Unit
The Act also created a new Procurement Review Unit (PRU) to oversee how the rules are applied. It brings together three services: the existing Public Procurement Review Service, a new Procurement Compliance Service, and a new Debarment Review Service (which can investigate suppliers for potential debarment).
What you should do now
- Register on Find a Tender when you are ready to bid (it is free).
- Read each notice and tender document carefully — under the flexible procedure, processes vary.
- Keep your core supplier details up to date so they are ready to reuse across bids.
- Use the feedback you are now entitled to in order to improve future bids.
Frequently asked questions
When did the Procurement Act 2023 come into force?
24 February 2025. Procurements that started before that date continue under the previous rules.
Does the Procurement Act replace the Public Contracts Regulations 2015?
Yes. It replaced PCR 2015, the Utilities Contracts Regulations 2016 and the Concession Contracts Regulations 2016 for procurements started on or after 24 February 2025.
Does the Procurement Act apply in Scotland?
No — devolved Scottish authorities are excluded and continue to follow Scottish procurement legislation. It applies (with some differences) to Welsh and Northern Irish authorities.
Do I have to register on Find a Tender?
You need to register to bid. Registration is free, and you only need to do it when you want to submit a bid.
Sources
- GOV.UK — Transforming Public Procurement (collection)
- GOV.UK — The Procurement Act 2023: a short guide for suppliers
- GOV.UK — Buyers and Suppliers: how to use the Central Digital Platform, the enhanced Find a Tender service
- legislation.gov.uk — Procurement Act 2023, explanatory notes: territorial extent
- GOV.UK — Guidance: Devolved Contracting Authorities