Corporate Procurement Strategy

This Procurement Strategy sets out the council’s approach to procurement for 2026 – 2028. It explains how procurement will support the council’s strategic priorities, secure value for money, comply with legislation, manage risk and deliver wider benefits for residents, communities and the local economy.

Procurement is more than buying goods, works and services. Used well, it is a strategic tool that helps the council spend public money wisely, plan ahead, encourage innovation, support service delivery and achieve social, economic and environmental outcomes. In 2025/26, the council spent £62.5 million with third parties, making lawful, transparent and proportionate procurement essential.

The strategy reflects national and local priorities, including the Procurement Act 2023, the Public Services (Social Value) Act 2012, transparency and contract management requirements, Local Government Reorganisation, financial pressures, climate and sustainability ambitions, supplier resilience and the council’s own policies.

The council’s vision is to deliver procurement that secures value for money, supports strategic priorities and creates positive outcomes for local communities. This will be achieved through a whole-life approach that considers cost, quality, risk, social value, sustainability, supplier access, ethical supply chains and long-term public benefit.

The strategy is built around three strategic procurement aims:

• Showing Leadership – embedding procurement in decision-making through strong governance, early engagement, clear accountability and effective oversight.
• Behaving Commercially – strengthening planning, market engagement, contract management, supplier relationships, risk control, savings, efficiencies and innovation.
• Achieving Community Benefits – using procurement to support social value, sustainability, local economic resilience, SMEs, VCSEs, ethical procurement and wider community outcomes.

The East Sussex Procurement Hub will continue to provide professional procurement expertise, guidance, assurance and support. Successful delivery will require collaboration across services, early involvement of procurement, finance and legal colleagues, accurate procurement and contract data, effective contract management and a shared commitment to continuous improvement.

Progress will be monitored through the key performance indicators in Appendix 3, covering compliance, transparency, value for money, contract performance, social value, sustainability, supplier engagement, training, data quality and readiness for Local Government Reorganisation.

Through this strategy, the council will continue to spend money wisely while helping to create a greener, fairer and kinder district for present and future generations.

1.1. The importance of effective procurement has never been greater for local government. Demand for public services continues to increase while resources continue to reduce. This pressure to find greater efficiencies and improve productivity is driving councils to explore different ways of delivering better outcomes for local people.

1.2. This Procurement Strategy sets out the vision, objectives and actions which will direct and govern procurement activities for the council from 2026 to 2028.

1.3. This strategy reflects both national and local policies and priorities and includes our approach to suppliers’ fair working practices and ethical procurement, sustainability, climate change, corporate social responsibility, small and medium-sized enterprises (SMEs), supported businesses and third sector organisations.

1.4. This strategy explains how we will continue to develop and benefit from the professional expertise of the East Sussex Procurement Hub over the next two years and the systems we use to make sure that the council delivers on its value of “spending money wisely”.

1.5. Procurement plays a pivotal role in supporting the Council’s Strategic Plan and will continue as a key enabler of the council’s ongoing reform, continuous improvement and service delivery objectives.

1.6. In 2025/26, we spent £62.5 million on goods, works and services. We therefore have a clear responsibility to ensure that this expenditure represents best value for money.

1.7. Drawing on the expertise and experience of our successful team, we have used the National Procurement Strategy for Local Government in England as a framework for developing this two-year strategy. This combination of professional expertise and recognised good practice has enabled us to identify five key areas of focus. Concentrating our efforts on these priorities will have the greatest impact in supporting the council’s ambitions and delivering positive outcomes for our communities.

2.1. Procurement is the process of planning, sourcing, awarding and managing the acquisition of goods, works and services, whether delivered by third parties, shared services or in-house provision. It covers the whole lifecycle, from identifying need, appraising options and making the critical “make or buy” decision, through to contract award, contract management, review, exit and lessons learned. Effective procurement ensures that decisions are lawful, transparent, proportionate and focused on achieving value for money, managing risk and delivering positive outcomes for the council and local communities.

3.1. Procurement is more than a compliance process. Used well, it is a strategic tool that helps the council deliver better services, secure value for money, manage risk, support local priorities and achieve wider economic, social and environmental benefits. Effective procurement can contribute to a successful local economy, a thriving voluntary and community sector, community wellbeing, climate and sustainability objectives, ethical supply chains and transparent use of public money.

3.2. Good procurement helps ensure that the council buys goods, works and services that are fit for purpose, affordable, sustainable and capable of delivering the outcomes required. It also supports savings and efficiencies that can be reinvested in front-line services, while helping services plan ahead, manage contracts effectively and respond to changing needs.

3.3. Local Government spends significant public funds each year through procurement. Residents, businesses, suppliers and taxpayers are entitled to expect that this money is spent fairly, transparently and professionally, and that procurement decisions support the council’s priorities and the best interests of local communities.

4.1. Our vision for procurement over the term of this strategy is to deliver lawful, transparent and proportionate procurement that secures value for money, supports the council’s strategic priorities and delivers positive outcomes for local communities. We will take a whole life approach to the procurement of goods, works and services, seeking to maximise social economic and environmental benefits, support resilient and ethical supply chains, encourage supplier access and innovation, and minimise adverse impact on the environment.

5.1. Our strategic procurement aims are based on the Local Government Association National Procurement Strategy and have been updated to reflect the council’s current priorities, the Procurement Act 2023, transparency and contract management requirements, social value, sustainability, supplier access and Local Government Reorganisation. Appendix 1 provides more details:

• Showing Leadership
  Procurement leadership is essential to delivering the council’s priorities and ensuring public money is spent wisely. A strategic approach to procurement should be embedded in decision-making by councillors, senior officers, service leads and project teams, particularly for high value, high risk or strategically important contracts. Early engagement with procurement helps shape requirements, test the market, manage risk, support innovation, improve transparency and secure outcomes that deliver value for money and wider community benefit.  
• Behaving Commercially
  The council will take a more commercial and outcome-focused approach to procurement and contract management. This means developing the skills, data and confidence needed to design effective service provision, understand markets, engage suppliers appropriately, manage contracts and supplier relationships, control risk and identify opportunities for savings, efficiencies, income generation and innovation. Commercial behaviour must remain lawful, ethical, transparent and aligned to the council’s priorities.
• Achieving Community Benefits
  Procurement can help the council deliver wider economic, social and environmental outcomes alongside the goods, works and services being purchased. This includes supporting community wellbeing, sustainability and climate objectives, ethical supply chains, local employment and skills, opportunities for SMEs and VCSE organisations, and improved accessibility for suppliers. Social value and community benefits should be considered proportionately from the planning stage and monitored through contract delivery where appropriate.

5.2. The success of this strategy will depend on the effective implementation of the following key principles and actions:

• Clear political and senior management endorsement, ownership and support for strategic procurement.
• Council-wide recognition that procurement is a strategic enabler of value for money, service improvement, risk management and delivery of council priorities.
• Improved forward planning, pipeline management and early engagement between services, procurement, finance, legal and other key functions.
• Adequate resourcing, prioritisation and governance of procurement activity, particularly for high value, high risk and strategically important contracts.
• Appropriate support from key internal functions throughout the full procurement and contract lifecycle.
• Continued development of procurement and contract management capability across services, supported by guidance, training and continuous improvement.
• Effective identification, allocation, mitigation and ongoing management of procurement, contract, supplier and transition risks.
• Active contract management, performance monitoring and escalation routes to address poor performance, non-compliance and emerging issues.
• Continuity of knowledge, accurate procurement and contract data, and regular training to support compliance, transparency and effective delivery.

6.1. Effective procurement is a continuous cycle of planning, sourcing, award, mobilisation, contract management, review and learning. It begins with understanding need, outcomes, affordability, risk and the options available, including whether the requirements should be delivered in-house, through collaboration, by grant, through a framework or dynamic market, or through a competitive procurement. Each stage is connected and should be proportionate to the value, complexity and risk of the requirement.

6.2. This strategy promotes effective, lawful and proportionate procurement across all services and should be read alongside the council’s Procurement and Contracting Rules, Financial Regulations, Scheme of Delegation, relevant guidance and the support available from the East Sussex Procurement Hub.

6.3. The appropriate route to market will depend on the subject matter, value, risk, market conditions, urgency and desired outcomes. For procurements commenced under the Procurement Act 2023, the main competitive tendering procedures and commercial tools include:

• Open procedure – a single-stage competitive procedure where any interested supplier may submit a tender for an advertised opportunity. 

• Competitive flexible procedure – a flexible competitive procedure that enables the council to design a proportionate process for the requirement, which may include stages such as shortlisting, dialogue, negotiation, presentations, demonstrations or revised tenders where appropriate and permitted.

• Direct award – available only where the Procurement Act 2023, regulations or transitional arrangements permit it, and where the required justification, transparency and approval requirements are met.

• Framework agreements – arrangements established by one or more contracting authorities with one or more suppliers, setting out the terms under which future contracts may be awarded. Call-off contracts must be awarded in accordance with the framework rules and any applicable competition requirements.

• Open frameworks – a series of successive frameworks on substantially the same terms, allowing new suppliers to join at defined points and helping maintain competition, innovation and supplier access over time.

• Dynamic markets – flexible arrangements that allow suppliers to join during the life of the market if they meet the conditions of membership. They can support competition, supplier access and repeated procurements for commonly required goods, works or services.

• Light touch contracts – contracts for certain social, health, education and other services that are subject to specific and more flexible rules. The council will apply a proportionate process that reflects the nature of the service, user needs, value, risk and legal requirements.

• Below-threshold procurements and quotations – proportionate routes used where the estimated value is below the relevant threshold, in accordance with the council’s Procurement and Contracting Rules,
transparency requirements and value for money principles.

• Grants and in-house delivery – where appropriate, the council may decide that a grant, partnership arrangement or in-house provision is the most suitable route to achieve the required outcomes. These decisions must be properly documented, lawful, transparent and aligned to governance requirements.

6.4. Whatever route is used, the council will plan procurements early, engage the market where appropriate, consider lots and supplier accessibility, manage conflicts of interest, keep clear records, publish required notices and ensure that contract management, performance monitoring, payment compliance, social value and exit arrangements are considered from the outset.

7.1. Public procurement operates in a highly regulated environment governed by national legislation, statutory guidance, case law, the council’s Constitution, Procurement and Contracting Rules, Financial Regulations, Scheme of Delegation and other relevant council policies. For procurements commenced on or after 24 February 2025, the principal public procurement regime is the Procurement Act 2023 and associated regulations. Procurements commenced before that date continue to be governed by the Public Contracts Regulations 2015 and related transitional arrangements. Appendix 2 provides further detail on the relevant legislation, council policy and procedure rules.

8.1. Strong governance, clear accountability and visible leadership are essential to effective procurement. The council will ensure that councillors, senior officers, operational managers, contract owners and the East Sussex Procurement Hub understand their respective roles in planning, approving, procuring and managing contracts.

8.2. This governance approach will need to remain responsive to legislative change and Local Government Reorganisation. The Procurement Act 2023 now places greater emphasis on transparency, flexible procurement, supplier access, contract management, payment performance and publication of information across the commercial lifecycle. Local Government Reorganisation will also require strong forward planning, contract mapping, pipeline visibility, transition risk management, novation and exit planning, and alignment with neighbouring authorities where appropriate.

8.3. The council will continue to update its Procurement and Contracting Rules, templates, governance arrangements, training and assurance processes so that procurement activity remains compliant, proportionate and aligned to the council’s priorities, the National Procurement Policy Statement and future organisational arrangements.

8.4. Members play an important role in setting the council’s strategic direction, approving key policies and decisions, and providing oversight where procurement activity is high value, high risk, strategically important or of significant public interest. 

8.5. Cabinet is responsible for approving this Procurement Strategy, reviewing progress against the strategic aims and ensuring that procurement activity supports the council’s priorities, governance framework and financial controls.

8.6. Procurement activity requiring more detailed Member involvement may include:
• Making key decisions in the procurement process for major projects.
• Considering proposals for new, significantly changed or strategically important services.
• Procurement activity with high public interest or significant community impact.
• Contracts or procurement decisions with significant reputational, financial, legal or service continuity risk.
• Decisions where there is a significant risk of failing to meet legislative, governance, transparency or value for money requirements.

9.1. The Corporate Management Team is responsible for:
• Providing strategic oversight of the Procurement Strategy and reviewing progress against the strategic aims and implementation actions.
• Providing leadership and governance for procurement, commercial activity and contract management across the council.
• Ensuring the Procurement Strategy remains aligned with corporate objectives, financial planning, service priorities and Local Government Reorganisation planning.
• Overseeing procurement arrangements and ensuring they operate effectively, lawfully, transparently and proportionately.
• Ensuring value for money, affordability, risk, social value, sustainability and supplier accessibility are considered in relevant procurement activity.
• Supporting a culture of good contract management, accurate procurement data, timely decision-making and continuous improvement.

10.1. Operational managers are responsible for ensuring that staff in their service areas understand procurement requirements, have appropriate skills and guidance, and involve procurement, finance, legal and other key functions early where needed.

10.2. For high value, high risk, complex or strategically important contracts, services should establish appropriate project governance so that technical, legal, financial, commercial, social value, sustainability and transition risks are considered throughout the procurement and contract lifecycle.

10.3. Staff involved in procuring, buying or managing goods, works and services must comply with this strategy, the Procurement and Contracting Rules, Financial Regulations, relevant guidance and advice from the East Sussex Procurement Hub, and must manage supplier relationships ethically, transparently and professionally. 

11.1. The East Sussex Procurement Hub provides shared procurement expertise, guidance, assurance and support to the council in line with legislation, council policy and good practice. Its role includes:
• Coordinating this Procurement Strategy on behalf of the council and supporting delivery of the strategic aims and implementation actions.
• Providing advice and support to services and contract owners on procurement planning, route to market, evaluation, award, mobilisation, contract management and exit planning.
• Developing and maintaining procurement templates, guidance, documentation and web content to support compliance, transparency, supplier access and consistent practice.
• Supporting effective use of e-procurement systems, the central digital platform and relevant data to improve efficiency, transparency and reporting.
• Assisting contract owners with contract reviews, performance monitoring, improvement planning, business continuity, variations, extensions, exit strategies and lessons learned.
• Supporting processes that manage conflicts of interest, reduce the risk of fraud, corruption or favouritism, and promote fair, ethical and transparent procurement.
• Analysing spend, supplier and category information to support planning, market understanding, value for money, contract management and Local Government Reorganisation readiness.
• Coordinating and monitoring the council’s contract register and procurement pipeline to improve forward planning, transparency, renewal management and contract oversight.
• Organising and supporting training, briefings and guidance for officers and Members on procurement legislation, council rules, contract management, social value, transparency, systems and good practice. 

12.1. Value for money does not mean the lowest cost. There are many aspects to achieving VFM through the procurement process; mainly to select a procurement model that is proportionate to the value and risk of individual contracts.

12.2. It also requires a proportionate approach to the evaluation of cost and quality; where the costs can be broadly predetermined there will be a higher weighting towards quality.

12.3. VFM is not just about price, there are a wide range of other considerations that may be taken into account when assessing VFM, including for example, quality relevant and appropriate to the specifics of the contract; social value in terms of community experience and outcomes and whole life value.

13.1. The Public Services (Social Value) Act 2012 requires the council to consider how the services, works and goods it procures can improve the economic, social and environmental wellbeing of the area. Social value is the additional benefit created through public sector contracts beyond the core requirements of the contract and at no additional cost. By embedding social value into procurement activity, the council aims to maximise positive outcomes for local communities, strengthen the local economy, support community resilience and wellbeing, and create opportunities for skills development, employment and environmental improvement. This approach reflects the council’s commitment
to creating a greener, fairer and kinder district for present and future generations.

13.2. The council’s Social Value Policy sets out how social value will be considered and embedded throughout the procurement and contract management lifecycle. The policy promotes collaboration with suppliers, local businesses, voluntary and community organisations to deliver outcomes that are proportionate to the contract and responsive to local needs. Social value complements the council’s Sustainable Procurement Policy by supporting economic and social benefits alongside environmental improvements, ensuring that procurement delivers the greatest possible value for residents, communities and the wider district.

13.3. The council will seek to support the principles of Community Wealth Building by encouraging opportunities that strengthen local economic resilience, develop local skills, support SMEs and VCSEs, and maximise the benefits of public expenditure within local communities where this is relevant, proportionate and consistent with procurement legislation. 

14.1. Sustainable procurement is a key element of the council’s procurement approach and supports the delivery of long-term environmental, economic and social benefits through the goods, works and services it buys. It requires the council to consider the environmental impact of procurement decisions across the whole lifecycle of a contract, including sourcing, manufacture, delivery, use, maintenance, reuse, recycling and disposal. By embedding sustainable procurement into procurement activity, the council aims to reduce negative environmental impacts, support responsible resource use, improve resilience to climate change and contribute to a greener, fairer and more sustainable district for present and future generations.

14.2. The council’s Sustainable Procurement Policy sets out how sustainability will be considered and embedded throughout the procurement and contract management lifecycle. The policy supports the council’s climate, biodiversity and sustainability ambitions by encouraging proportionate consideration of whole-life costs, carbon reduction, waste prevention, circular economy principles, biodiversity improvement, responsible supply chains and efficient use of resources. Sustainable procurement complements the council’s Social Value Policy by ensuring that environmental outcomes are considered alongside economic and social benefits, so that procurement delivers the greatest possible value for residents, communities and the wider district.

14.3. The council will seek to work with suppliers, contractors and partners to identify practical and proportionate opportunities to support its environmental objectives and Net Zero ambitions through contract delivery. This may include reducing carbon emissions, minimising waste, increasing reuse and recycling, improving energy and resource efficiency, supporting biodiversity net gain where relevant, and strengthening the resilience of supply chains to the impacts of climate change. These opportunities will be considered where they are relevant, proportionate and consistent with procurement legislation. 

15.1. The council is committed to delivering procurement outcomes that provide value for money and maximise public benefit in accordance with the Procurement Act 2023. Whilst the council cannot apply policies that unfairly favour suppliers based solely on geographic location, we will undertake procurement activity in a manner that supports the local economy, promotes opportunities for small and medium-sized enterprises (SMEs), voluntary, community and social enterprises (VCSEs), and encourages wider community benefits. Procurement Aim 3, “Achieving Community Benefits”, in Appendix 1 further sets out our objectives for supporting local economic growth, skills development and social value outcomes. The council will also encourage suppliers and contractors to consider the use of local supply chains and subcontractors where this is relevant, proportionate and consistent with the principles of fair and open competition.

16.1. Ethical procurement considers the impact of environmental, economic and social factors along with price and quality. We must be aware and look out for signs of unacceptable practices in the supply chain such as modern slavery, fraud and corruption.

16.2. We are committed to a positive approach to combat Modern Slavery and we will:

• Train all relevant staff using the Chartered Institute of Purchasing and Supply’s online course on Ethical Procurement and Supply (Public Sector).
• Require contractors to comply fully with the Modern Slavery Act 2015, wherever it applies, with contract termination as a potential sanction for noncompliance.
• Challenge any abnormally low-cost tenders to ensure they do not rely upon any potential contractor practising modern slavery.
• Highlight to our suppliers that contracted workers are free to join a trade union and are not to be treated unfairly for belonging to one.
• Publicise our whistle-blowing system for staff to blow the whistle on any suspected examples of modern slavery.
• Require our contractors to adopt a whistle-blowing policy which enables their staff to blow the whistle on any suspected examples of modern slavery.
• Regularly review our contracted spending to identify any potential issues with modern slavery.
• Highlight to our suppliers any risks identified concerning modern slavery and refer them to the relevant agencies to be addressed.
• Refer for investigation via the National Crime Agency’s national referral mechanism any of our contractors identified as a cause for concern regarding modern slavery.
• Annually report on the implementation of this policy.

17.1. Risk management is an integral part of a procurement process and must be considered at the planning stage of any procurement process. We will identify the risks associated with all major procurement activity and the contingencies for service disruption in each project and how these are to be mitigated and managed.

17.2. For any high financial value, high risk or high profile procurement and which also involves significant risk including staff transfer; or significant potential for reputational or financial risks we will utilise the project management methodology throughout a project’s life to ensure it delivers the project objectives and outcomes. Risks and issues register(s) relating to the procurement will be set up and regularly monitored by the project team.

18.1. Contract and relationship management refers to the effective management and control of all contracts from their planning inception until their completion by the appointed contractor(s). It covers the supported policies, procedures and systems needed to undertake it, together with broader issues from the identification and minimisation of risk, successful and timely delivery of outcomes and performance, effective control of cost and variations, and the maintenance of clear communications and operational relationships with contractors.

18.2. Buyers and contract managers will be proactive in relation to managing contracts and performance in order to ensure that positive output and outcomes are maximised, cost variations are minimised and any issues in relation to the delivery of the contract are appropriately addressed at the earliest opportunity.

19.1. Business continuity is the process of preparing for and responding to a disaster, pandemic, event or situation that could have a serious impact on the delivery of services. For high risk procurements the suppliers will be required to submit a business continuity plan as part of the tender submission. All key suppliers will be required as part of contract management to provide an annual update of their business continuity plans.

Vision for procurement

Our vision for procurement over the term of this strategy is to deliver lawful, transparent and proportionate procurement that secures value for money, supports the council’s strategic priorities, delivers positive outcomes for local communities and maximises public benefit through the effective use of public funds. We will take a whole life approach to goods, works and services, maximising social, economic and environmental benefits, supporting resilient and ethical supply chains, encouraging supplier access and innovation, and minimising adverse environmental impacts.

Procurement Aim 1 – Showing Leadership

Procurement leadership is essential to delivering the council’s priorities and ensuring public money is spent wisely. A strategic approach to procurement should be embedded in decision-making by councillors, senior officers, service leads and project teams, particularly for high value, high risk or strategically important contracts. Early engagement with procurement helps shape requirements, test the market, manage risk, support innovation, improve transparency and secure outcomes that deliver value for money and wider community benefit.

Engaging Councillors

What it is: Councillors set the council’s vision and strategic priorities and must be satisfied that procurement and commercial arrangements are robust, lawful, transparent and aligned to those priorities. Their role includes key decisions on major projects, oversight of strategically important contracts and consideration of corrective action where performance, cost, risk or outcomes require escalation.  

Why it is important: Effective councillor engagement improves decision-making, accountability and public confidence. It helps ensure procurement supports value for money, community outcomes, social value, transparency, risk management and the council’s wider strategic objectives. 

Engaging Senior Managers

What it is: Senior managers should involve procurement, finance, legal and other key functions early in service planning and project development. This enables the council to define outcomes, understand markets, consider delivery options, manage risk and ensure contracts are affordable, compliant and deliverable.

Why it is important: Early senior management engagement improves planning, governance and delivery. It supports better market engagement, clearer specifications, proportionate routes to market, stronger contract management and improved resilience during periods of change, including Local Government Reorganisation.

Working with Partners

What it is: Working with partners means taking a joined-up approach across council services, the East Sussex Procurement Hub, neighbouring authorities, public sector partners and community organisations where collaboration can improve outcomes, resilience, value for money and service continuity.

Why it is important: Collaboration helps make best use of limited resources, supports innovation, reduces duplication and improves consistency. It is particularly important for shared services, joint procurement, regional market engagement and planning for Local Government Reorganisation.

Engaging Strategic Suppliers

What it is: Strategic supplier relationship management means identifying critical suppliers, understanding dependency and risk, maintaining constructive relationships, monitoring performance and using contract reviews to improve outcomes, manage issues and support innovation. 

Why it is important: Effective supplier relationship management supports service continuity, cost control, risk management, social value delivery, payment performance, contract compliance and continuous improvement.

Procurement Aim 2 – Behaving Commercially

The council will take a more commercial and outcome-focused approach to procurement and contract management. This means developing the skills, data and confidence needed to design effective service provision, understand markets, engage suppliers appropriately, manage contracts and supplier relationships, control risk and identify opportunities for savings, efficiencies, income generation and innovation. Commercial behaviour must remain lawful, ethical, transparent and aligned to the council’s priorities.

Creating Commercial Opportunities

What it is: Creating commercial opportunities means using procurement, commissioning and contract
management to identify lawful and ethical ways to improve value, reduce cost, avoid unnecessary spend, generate income where appropriate, encourage innovation and make better use of council resources and assets. 

Why it is important: A commercial approach helps the council respond to financial pressure while protecting public value. It supports better service design, improved supplier performance, increased resilience and opportunities to reinvest savings and efficiencies in front-line services.

Managing Contracts and Relationships

What it is: Contract and relationship management is the active management of contracts from planning and mobilisation through to delivery, review, variation, extension, expiry and exit. It ensures performance, cost, risk, compliance, social value and supplier relationships are managed throughout the contract lifecycle.

Why it is important: Strong contract management protects value for money, supports service quality, improves transparency and helps address poor performance early. It is also essential for meeting Procurement Act 2023 requirements on KPIs, contract performance information and payment compliance where applicable.

Managing Strategic Risk

What it is: Managing strategic risk means identifying, assessing, allocating, mitigating and monitoring
procurement, contract, supplier, financial, legal, reputational, service continuity and transition risks throughout the procurement and contract lifecycle.

Why it is important: Effective risk management protects residents, services, public money and the council’s reputation. It supports better planning, stronger governance, business continuity, supplier resilience and readiness for Local Government Reorganisation.

Procurement Aim 3 – Achieving Community Benefits

Procurement can help the council deliver wider economic, social and environmental outcomes alongside the goods, works and services being purchased. This includes supporting community wellbeing, sustainability and climate objectives, ethical supply chains, local employment and skills, opportunities for SMEs and VCSE organisations, and improved accessibility for suppliers.

Obtaining Social Value

What it is: Social value means securing additional economic, social and environmental benefits through
procurement, proportionate to the subject matter, value and risk of the contract. It should be considered from the planning stage and reflected in requirements, evaluation, contract terms and performance monitoring where appropriate.

Why it is important: Social value helps procurement contribute to local priorities, community wellbeing, inclusive growth, environmental improvement and long-term public benefit. Monitoring delivery ensures commitments made during procurement are realised through the contract lifecycle.

Local small medium enterprises (SMEs) and micro-business engagement

What it is: SME, local supplier and micro-business engagement means making procurement opportunities as accessible as possible by using proportionate processes, clear pipelines, early market engagement, appropriate lotting and simple, transparent documentation.

Why it is important: SMEs and local suppliers support economic resilience, employment, innovation and supply chain diversity. Accessible procurement helps a wider range of suppliers compete fairly, supports local market capacity and can improve value, responsiveness and social value outcomes.

Enabling voluntary, community and social enterprise (VCSE) engagement

What it is: VCSE engagement means recognising the role of voluntary, community and social enterprise
organisations in supporting residents and communities, and designing procurement and commissioning
approaches that allow them to participate where appropriate and proportionate.

Why it is important: VCSE organisations can bring local insight, trust, specialist knowledge and community reach. Enabling their participation can improve service design, support prevention and early intervention, strengthen community resilience and help deliver social value.

Public procurement operates in a highly regulated environment governed by national legislation, statutory guidance, case law, the council’s Constitution, Contract Procedure Rules and other relevant council policies. For procurements commenced on or after 24 February 2025, the principal public procurement regime is the Procurement Act 2023 and associated regulations. Procurements commenced before that date continue to be governed by the Public Contracts Regulations 2015 and related transitional arrangements.
These are listed below:

Public Contract Regulations (PCR) 2015

The Public Contracts Regulations 2015 set out the former EU-derived procurement regime for public contracts above relevant thresholds. Although replaced for new procurements by the Procurement Act 2023 from 24 February 2025, the Regulations continue to apply to procurements commenced before that date and to contracts, frameworks and call-off arrangements that remain subject to the previous regime under transitional provisions.

Procurement Act 2023

The Procurement Act 2023 introduced a new public procurement regime for procurements commenced on or after 24 February 2025. It is intended to simplify and modernise procurement, increase flexibility, improve supplier access, embed transparency across the commercial lifecycle and strengthen contract management obligations. The council must ensure its Contract Procedure Rules, procurement templates, governance arrangements, training and assurance processes reflect the requirements of the Act,
associated regulations, statutory guidance and the National Procurement Policy Statement.
Key requirements include the use of the central digital platform and new transparency notices, proportionate and flexible procurement procedures, appropriate consideration of exclusions and supplier debarment, publication of contract and performance information where required, implied payment terms, payments compliance reporting, and the publication of specified contract payment information. The council will continue to review guidance and implementation requirements as further provisions are commenced.

Local Government Transparency Code 2015

The Transparency Code requires the Council to publish details of every invitation to tender for contracts with a value that exceeds £5,000. We must also publish details of any contracts, commissioned activity, purchase order, framework agreement or any other legally enforceable agreement with a value that exceeds £5,000.

The Public Services (Social Value) Act 2012

This act places a duty on local authorities, at the ‘pre procurement’ phase of procuring services to consider how and what is being procured might improve the economic, social and environmental well-being in their community; and how they might secure that improvement in the procurement process itself as long as such action is relevant to what is being procured, and is considered to be proportionate.

Community Right to Challenge (Localism) Act 2012

This act enables “relevant bodies”, for example voluntary and community groups, employees or Parish Councils, to challenge to take over local services that they think they can run differently or better. The right enables a relevant body to submit an expression of interest (EOI) to a relevant authority to provide or assist in providing a relevant service.

Freedom of Information Act 2000

This act provides people with the right to access to information held by public bodies. This with the government’s transparency agenda has consequences for those contracting with the partners where the financial details of contracts awarded may be made public.

Data Protection Legislation

The General Data Protection Regulation 2016 and the Data Protection Act 2018 sets out the basis on which we process the personal data we collect. Any contract must clearly set out the roles and responsibilities of the council and the contractor, and require the contractor to comply with Data Protection legislation and indemnify the council against any claim.

Contract Procedure Rules, Financial Regulations and Scheme of Delegation

As part of its corporate governance arrangements the Council must ensure that there are adequate controls, procedures and standard documentation in place to satisfy the need to meet probity, propriety and transparency tests. Contract Procedure Rules, Financial Regulations and Scheme of Delegation fulfil this requirement and they are part of the approved Constitution. They must be observed by both Members and Officers within the procurement process.

The KPIs below will be used to measure progress against this strategy for 2026–2028. They reflect the Procurement Act 2023, increased transparency and contract management obligations, social value and sustainability priorities, support for SMEs and VCSEs, and the need to prepare procurement and contracts for Local Government Reorganisation. Progress will be reviewed at least annually and reported through the council’s governance arrangements.

Key area: Value for Money and Efficiency

KPI/Measure: Cashable and non cashable savings, cost avoidance and wider benefits identified through procurement activity.

Baseline 2026: Baseline to be confirmed annually with Finance based on current third-party spend and approved savings methodology.

Target 2026 – 2028: Annual procurement benefits target agreed with Finance and reported through the annual procurement performance report, including savings, cost avoidance, efficiencies and social
value where measurable.

Key area: Procurement Act 2023 Compliance

KPI/Measure:  Procurements are undertaken in accordance with the Procurement Act 2023, associated regulations, statutory guidance, the National Procurement Policy Statement, Contract Procedure Rules and Financial Regulations.

Baseline 2026: New regime implemented from 24 February 2025; CPRs, template, processes and guidance require ongoing review as guidance and practice develop.

Target 2026-2028: CPRs, templates, guidance and assurance checks reviewed at least annually; all relevant officers and members receive appropriate training or briefing; legislative changes are incorporated into procurement processes within agreed implementation timescales.

Key area: Transparency and Notices

KPI/Measure: Required transparency notices and procurement information are published accurately and on time, including use of the central digital platform where required.

Baseline 2026: Publication requirements expanded under the Procurement Act 2023.

Target 2026 – 2028: 100% of required notices for in-scope procurements are published within statutory timescales, with exceptions reviewed and reported through procurement governance.

Key area: Payment Compliance

KPI/Measure: Payment performance under public contracts is monitored and reported through payment compliance notices where required.

Baseline 2026: New six-monthly payment compliance reporting requirements apply under the Procurement Act 2023.

Target 2026-2028: Payment compliance data is produced every six months, signed off by Finance where required, published within statutory timescales and used to identify improvement actions with services and suppliers.

Key area: Contract Performance and KPIs

KPI/Measure: In-scope contracts include appropriate KPIs and supplier performance is assessed and published where required.

Baseline 2026: The Procurement Act 2023 introduced statutory requirements for KPIs and contract performance notices for relevant contracts.

Target 2026 – 2028: All in-scope contracts include proportionate KPIs before award; contract owners complete performance reviews at agreed intervals; required contract performance is published within statutory timescales.

Key area: Contract Management and Supplier Relationships

KPI/Measure: High value, high risk and strategically important contracts have named contract managers, risk owners, review arrangements and escalation routes.

Baseline 2026: Contract management practice varies across service areas.

Target 2026 – 2028: 100% of high value, high risk and critical contracts have named owners, current risk ratings, documented review arrangements and clear escalation routes, with assurance reported annually.

Key area: Social Value and Sustainability

KPI/Measure: Relevant procurements include proportionate social value and sustainability outcomes and those commitments are monitored during contract delivery.

Baseline 2026: Social value is recognised within the strategy and procurement documentation, with maturity to be reviewed.

Target 2026 – 2028: Social value and sustainability are considered at planning stage for all relevant procurements; commitments are included in contracts where appropriate; delivery is monitored and reported annually.

Key area: SME, Local Supplier and VCSE Engagement

KPI/Measure: Procurement processes support accessible opportunities for SMEs, local suppliers and VCSE organisations.

Baseline 2026: Pipeline and supplier engagement arrangements require refresh for the 2026-2028 period.

Target 2026 – 2028: Forward pipeline information is maintained and shared where appropriate; supplier engagement activity is undertaken for relevant opportunities; local, SME and VCSE participation is monitored and reported annually.

Key area: Local Government Reorganisation Readiness

KPI/Measure: Contracts, spend data, renewal dates and procurement pipelines are mapped to support LGR transition planning.

Baseline 2026: LGR creates a need for greater contract mapping, pipeline visibility and alignment with neighbouring authorities.

Target 2026 – 2028: Maintain a single, up-to-date view of key contracts, expiry dates, extensions, risks, novation/exit requirements and procurement pipeline; review all critical contract for LGR transition risk and report progress through agreed governance.

Key area: Capability, Training and Culture

KPI/Measure: Relevant officers and members have the knowledge and tools needed to procure and manage contracts effectively.

Baseline 2026: Training and guidance require refresh following implementation of the Procurement Act 2023 and LGR planning. 

Target 2026 – 2028: Annual training plan in place covering Procurement Act requirements, contract management, social value, transparency, payment compliance and LGR readiness; completion and attendance monitored and reported annually.

Key area: Digital, Data and Reporting

KPI/Measure: Procurement and contract data is accurate, accessible and used to support decision making, transparency and performance reporting.

Baseline 2026: Contract and spend data is held across systems and requires ongoing improvement.

Target 2026 – 2028: Contract register and pipeline data reviewed at least quarterly; key data fields completed for all material contracts, annual procurement performance report includes savings, compliance, social value, supplier engagement, contract management and LGR readiness metrics.

Buying – placing orders under relevant contracts, use of purchasing cards and purchase-to-pay systems, receipting, making payments and associated transactions. This is also sometimes called Purchasing.

Category Management – best practice approach to managing and organising Procurement spend and resources; a structured framework of activities designed to deliver better Procurement outcomes through a holistic approach which focuses on the interrelated needs of buyers and suppliers; managing buying activity by grouping together related Goods, Works and Services across the council and mapping them onto the Provider market, to improve quality, savings and efficiency across the council as a whole.

Commissioning – the entire cycle of assessing the needs of people in a local area, designing and putting into place Goods, Works and Services to meet those needs, and monitoring and evaluating the outcomes. In a commissioning approach, the council seeks to secure the best outcomes for local communities by making use of all available resources, whether the resources are provided in house, externally or through various forms of partnership. This activity continues throughout the Whole Lifecycle.

Contract Management – the tasks and activities which seek to ensure we receive what we have contracted to receive, at the price we contracted to receive it, taking account of agreed change and continuous improvement. Activity is focused from prior to the contract starting though to contract expiry and de-commissioning. It includes supplier relationship management and also ensures that we meet our obligations under the contract.

Goods – things that we buy, such as pens and paper, or plants and seeds, or fruit and vegetables.

Procurement – the tasks and decisions which secure an external Provider to provide what we want, at a price that we can afford. Activity is focused on the period from prior to advertising a tender to signing the contract. It includes both competitive tenders and circumstances where we negotiate with a single supplier.

Provider – any organisation that provides Goods, Works or Services to the council or on behalf of the council.

Purchasing – placing orders under relevant contracts, use of purchase-to-pay cards and systems, receipting, making payment, and associated transactions.

Services – services that we buy include specialist support for vulnerable children and adults, and also repairs and maintenance services, financial advice, designs and surveys for new building works.

SME or Small and Medium Enterprises – firms that employ 9 or fewer staff (micro), and firms that employ 50 or fewer staff (small), and firms that employ 250 or fewer staff (medium), and with a turnover of less than £50 million.

Social Value – the additional economic, social and environmental benefits that a contract achieves.

Value for Money or VfM – buying the right thing at the right price, taking account of price, quality, outcomes and whole life costs; the combination of whole-life costs and benefits to meet the customer’s requirement; the relationship between economy, efficiency and effectiveness.

Whole lifecycle – the whole cycle of assessing needs, analysing options, preparation, Procurement, mobilisation, Contract Management and exit.

Works – construction works that we buy, including construction of new buildings, or extensions, and also creation and improvements to roads and bridges and open spaces.