SE small businesses procure progress

• By Purcon
• Tuesday, August 26, 2008
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The chances of small businesses procuring public sector contracts in the south east have improved, a new report has revealed.

The Federation of Small Businesses (FSB) South East Policy Unit assessed that progress has been made by local authorities towards encouraging small companies to procure contracts.

The report disclosed that 36 per cent had split larger framework agreements into small lots, to enable smaller firms to bid for the work, while two-thirds now advertise details of low value contracts on their websites.

Tim Colman, Hampshire & Isle of Wight procurement spokesman for the FSB, told thisishampshire.net: "Pressures on small businesses are increasing with rising fuel costs, the threat of recession, credit drying up and big companies taking longer to pay their bills.

"Procurement remains an under-used tool, which has the potential to play a key role in sustaining local communities."

In other procurement news, Rochdale council has been forced to re-run its procurement process for a £250 million construction project, due to a European Procurement ruling in Greece detailing that a council has to reveal the weightings of the award criteria after the tender process.

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