Access to government contracts .

Manufacturing News, Source : British Industry
Published : 16 Oct 2002 8:44

A government-backed survey, the first of its kind, has revealed the extent of concern among the private sector about access to the UK public sector market, which is worth £175 billion a year.

Tenders Direct, in conjunction with the Office of Government Commerce, asked 575 companies, ranging from SMEs to multi-nationals, which problems hampered their ability to do business with government departments, councils and the NHS. The major problem was the difficulty in discovering opportunities and making contacts. “Nearly 60 per cent of respondents felt that the tendering process is overly bureaucratic and 35 per cent said the standards required are often too onerous, both of which are factors affecting small companies especially,” said Tim Williams, MD of Tenders Direct. “Around 40 per cent said the public sector has no interest in small firms.”

The government has published two guides on how to approach tenders, but the survey shows that more needs to be done. Nearly three quarters of respondents said they had received no assistance at all to break into the public sector.

The Forum of Private Business has urged MPs to follow America’s example, where 23 per cent of prime contracts must be awarded to small businesses.

A joint project with the European Commission has led to the development of myTenders.com (www.myTenders.com) a free service that allows public sector organisations to publish their tender notices on the website in the hope that more local companies will be encouraged to respond.

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