UK
09/11/2007 16:02
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A report investigating the condition of UK public procurement has raised concerns that current policy often leads to taxpayers not getting the best value for their money.
The trade and industry select committee's (TISC) report - Future of UK Manufacturing: Public Procurement - found that government policy, although "clear and appropriate" on paper, was less satisfactory in practice.
In particular, MPs outlined that there was not always the necessary degree of skills and experience to meet guidelines regarding the procurement of goods and services.
It was found that many officials would choose the "least-cost" option rather than the "best-value "one which hindered competition and innovation among suppliers as well as limiting environmentally sustainable options.
Peter Luff MP, a committee member, voiced his worries over the impact of government efficiency drives on procurement.
"There is a danger that SMEs [small to medium-sized enterprises] will be squeezed out from even tendering for contracts because of the centralisation imposed under the government's efficiency drive."
The committee called for the introduction of better-trained and higher-quality procurement officials within the public sector.
TISC no longer exists in its previous form; it is now known as the Business, Enterprise and Regulatory Reform committee, although no members have been selected yet.
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