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Small firms will get procurement chance, says Cameron

15 February 2011

David Cameron has pledged to open up the public sector supply chain to smaller companies by dividing up large contracts.

The prime minister made the promise during a speech to announce the launch of Contracts Finder, a new online tool designed as a "one-stop-shop" for government tender opportunities.

He said the coalition is committed to ensuring that 25 per cent of all government contracts are awarded to small and medium-sized enterprises (SMEs), creating new business opportunities for the sector worth billions of pounds.

"We're going to break up large contracts into smaller elements, so that SMEs can make a bid and get involved," Mr Cameron explained.

He added that the government will "work proactively with our large suppliers to directly increase opportunities for smaller organisations".

Before the general election, the Conservative Party claimed that too much business had been awarded by the government to major suppliers.

It has been estimated that SMEs currently win only five to ten per cent of public sector contracts.

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Categories: Central Government

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