The Procurement Act 2023 explained for small businesses
What changed for suppliers when the Procurement Act came into force on 24 February 2025, and what it means if you're a small firm bidding for public sector work.
Last checked 15 October 2026. This is general guidance, not legal advice — the buyer's documents and official government guidance always come first.
What the Act is
The Procurement Act 2023 replaced the old EU-based procurement rules (such as the Public Contracts Regulations 2015) for procurements started on or after 24 February 2025. It applies to public bodies in England, Wales and Northern Ireland. Scotland has its own procurement rules, and most Scottish opportunities are published on Public Contracts Scotland.
Procurements that started under the old rules carry on under them, so for a while you'll see both kinds of notice.
One central platform
Notices are now published on the government's central digital platform, Find a Tender. Suppliers register there and keep their core business information (company details, connected people, financial information) up to date, then share it when they bid, rather than filling in the same details for every buyer.
More visibility of smaller contracts
When public bodies advertise lower-value contracts, they now have to publish a notice on Find a Tender too: from £12,000 (including VAT) for central government and £30,000 (including VAT) for other public bodies such as councils and NHS trusts. That's good news for small firms — more of the work you could realistically win is now advertised in one place.
New kinds of notice
The Act brings in a series of notices covering the whole life of a contract, from early 'pipeline' and planned procurement notices, through tender and award notices, to notices when a contract is changed or ends. That means you can see work coming earlier, and see when contracts are due to end — which is how TendersNearMe shows planned procurements and expiring contracts.
Frameworks and dynamic markets
Frameworks are still common. The Act also introduced open frameworks, which have to reopen to new suppliers at set points, and dynamic markets, which suppliers can join at any time. Both make it easier for new and small businesses to get onto approved supplier lists rather than waiting years for the next round.
Paying suppliers on time
Public contracts include 30-day payment terms for valid invoices, and those terms are expected to flow down supply chains to subcontractors. Larger public bodies also publish payments compliance notices twice a year showing how quickly they pay — we show these on buyer profiles where available.
Feedback when you lose
Bidders get an assessment summary explaining how their tender was scored, which makes it easier to understand why you lost and improve next time.