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The Procurement Act 2023 (PA23) represents the most significant overhaul of public procurement regulations in a generation. Designed to create a simpler, more flexible, and transparent commercial system, its objective is to unlock greater value for every taxpayer pound.
This week (Tuesday 14 October 2025), our team attended and exhibited at 'Procurement Act Live: The Journey So Far' - the leading government procurement event - to hear directly from experts and gauge the sector's sentiment. In this post, we share our key takeaways, exploring how the legislation is shaping procurement practices and what public sector organisations should be considering next to prepare for the road ahead.
A central pillar of PA23 is its drive for greater transparency. The early stages of implementation have already prompted organisations to tighten their procurement processes in anticipation of increased public scrutiny. This shift is not just about compliance - it's about building trust and demonstrating accountability.
However, this increased transparency brings its own set of challenges. Tracey Dawes, Solutions Director, noted an emerging risk: “Suppliers may feel more empowered to challenge decisions - does this reflect the intended balance?” This highlights a crucial dynamic. While a more open process is positive, it may lead to more frequent and robust challenges from suppliers who now have greater visibility into procurement decisions.
One of the most significant changes introduced by the act is its focus on holding suppliers accountable for their promises. Throughout the bidding process, suppliers often make commitments related to social value, innovation, and service delivery. The new legislation strengthens the mechanisms for ensuring these promises are fulfilled post-award.
Tracey Dawes said: “What I particularly value about the act is its emphasis on contract management. It ensures suppliers are held accountable for the commitments made in their bids, such as social value promises. This means contracts are awarded not just competitively, but for the right reasons.” For public sector bodies, this provides a powerful lever to drive meaningful outcomes and ensure that the value proposed is the value delivered.
The act actively encourages a more inclusive approach to public procurement, aiming to level the playing field for small and medium-sized enterprises (SMEs). By simplifying processes and removing barriers to entry, the legislation seeks to unlock the innovation and value that SMEs can bring to the public sector.
This was a prominent theme at the event. Jake Stone, Principal Consultant, observed: “A clear theme from pretty much every client conversation I had was the emphasis on SME engagement. The new legislation is driving a real shift toward inclusive procurement.” For heads of procurement, this presents a clear opportunity to diversify their supply chains and tap into a broader pool of talent and expertise, fostering local economic growth and resilience.
AI was a hot topic, with many exploring its potential to streamline procurement. However, conversations also carried a note of caution. AI tools can be invaluable for drafting documents and analysing data, but they should not be used as a substitute for human oversight and critical thinking.
Principal Consultant, Ian Reid, shared a stark reminder from one of the sessions: “One of the talks I listened to mentioned receiving three bids all with the same paragraph (probably from ChatGPT). It's great to give you a starting point, but needs to be tweaked to fit the tone of your organisation and of course be unique to your products and services.” He also stressed the importance of data security: “Be very careful what data you input as AI will digest this as part of its growing intelligence. Never input anything sensitive.”
The message is clear: leverage AI as a supportive tool, but maintain rigorous checks and protect sensitive information.
PA23 introduces stricter requirements around direct awards, demanding greater justification and transparency. The mandatory publication of transparency notices means that every decision to bypass competition will be open to public scrutiny.
Lauren Grainger, Managing Consultant, highlighted the dual nature of this change: “The requirement to publish transparency notices means organisations will need to be more considered in how and when they use direct awards.”
While direct awards remain a necessary tool for speed and specificity in certain situations, Lauren sees a chance to rethink old habits: “PA23 also presents an opportunity to re-evaluate this approach, open up more competition, and in doing so, unlock innovation, drive better value, and potentially reduce costs through more efficient sourcing.”
For organisations where speed is a concern, framework agreements and dynamic purchasing systems offer compliant and efficient alternatives to direct awards.
The new legislative landscape is not only changing how the public sector buys, but also how suppliers sell. There is a palpable sense of anticipation from the supply chain as businesses seek to understand the new rules of engagement and position themselves for success.
Amber Evans, Supplier Relationship Manager, said: “Suppliers are actively looking for ways to get involved in more projects, stand out in bids, and understand how to navigate the new landscape. This eagerness presents an opportunity for procurement teams to engage proactively with the market, fostering collaboration and encouraging innovative solutions that align with the act's principles.”
The act offers more than just a new set of rules; it presents a strategic opportunity to re-evaluate procurement philosophies, foster innovation, and deliver greater public and social value.
By embracing transparency, strengthening contract management, and promoting inclusive practices, public sector organisations can position themselves to not only comply with the new legislation, but to thrive under it. The key is to act now, engaging with partners, preparing internal teams, and viewing this transition as a catalyst for positive, lasting change.
Connect with us to explore how we can support your journey toward more transparent, inclusive, and value-driven procurement.
