14.6 C
Manchester
Friday, June 6, 2025
BusinessFSB publishes new research around public sector procurement

FSB publishes new research around public sector procurement

A new policy paper published by the Federation of Small Businesses (FSB) in Greater Manchester has lifted the lid on why so many small firms shy away from delivering public sector contracts.

FSB carried out research across the city region to better understand prevailing attitudes of small business owners towards public sector procurement, and to discover why so few firms see it as an achievable option.

The data, which has now been published in a 14-page policy paper, tells a fascinating story of distrust, misinformation, and perceptions of insurmountable barriers for the smallest firms who would like to work for their local councils, but see it as out of their reach.

The research follows the announcement by the Greater Manchester Combined Authority (GMCA) last March of plans to introduce a raft of changes to public sector procurement processes in 2023. One of the aims of which is to encourage more, smaller, local firms and VCSOs to deliver work for local councils, proven to put more money back in to regional economies than larger businesses do the work instead, meaning benefits for local wealth and job creation.

Commenting on the findings of the paper, FSB’s Development Manager in GM, Robert Downes, said: “Our research highlighted many reasons why smaller firms, in the main, shy well away from delivering contracts for local councils, but there were some consistent stand outs. The chief one is around perceptions, particularly that local councils would sooner give jobs to larger organisations because they think they are safe bets, although history has often shown us otherwise – Carillion springs to mind.

“The actual tender process itself is also seen as a barrier, with many firms saying it’s complicated, time consuming, and consequently out of reach of many smaller businesses, who lack the manpower and the experience just to complete the initial application process on time.

“And the other common complaint from firms who’ve previously ‘had a go’, is that they don’t get any feedback on unsuccessful applications. If you put time and effort into something that you eventually don’t win, you really need and want to know why, without that information how can do better the next time?”

The FSB report goes on to make seven recommendations that might remedy the issues identified, and encourage more firms to consider public sector procurement as an opportunity for growth.

Adds Downes: “Our 14-page report hopefully provides the public sector here in GM with some helpful food for thought. We think there are some simple, quick wins contracting teams could look at doing if they are serious about working more closely with the smaller end of the private sector. And there are some more long-term actions they may want to explore around culture change, and being seen to be fairer when deciding and awarding contracts.

“We’ll be sending our report to all contracting authorities in GM as well as other key decision makers. We know 2023 is going to be tough, and small businesses should be looking at new ways to stay resilient. Public sector procurement should be one of them, but change will be required to the current system for that to happen,” he added.

 

News Desk
News Deskhttps://www.businessmanchester.co.uk/
The Business Manchester News Desk team is a collective of experienced journalists and editors dedicated to delivering comprehensive business news and insights from the Manchester area and beyond. With a strong background in finance, technology, property, and innovation, our team ensures that our readers stay well-informed about the latest trends and developments in the business world. Through in-depth reports and insightful analysis, the Business Manchester News Desk team is committed to providing high-quality journalism to its audience.
Latest

Bouquet basics for Dad: Flower expert shares how to make those Father’s Day blooms last

A flower expert has revealed his top tips for dads to look after their blooms if they receive them for Father’s Day. Colourful bouquets and...

The Kim Jong Un Billboard That’s Shaking Up Manchester’s Fashion Scene

An eye-catching new billboard in Manchester featuring North Korea’s leader is challenging norms—and turning sustainable fashion on its head. A giant image of Kim Jong...

Heat Engineer Software Limited receives significant investment from Greenarc

Heat Engineer Software, the Lancashire based company at the forefront of heat loss calculations and the sizing of both renewable and traditional heating equipment,...

Pioneering project to change way people travel in Britain

A pioneering project is set to transform how people explore and move across Britain and Ireland. Slow Ways, a non-profit Community Interest Company, has already...
Subscribe to our newsletter
Business Manchester will use the information you provide on this form to be in touch with you and to provide updates and marketing.
Don't miss

Pioneering project to change way people travel in Britain

A pioneering project is set to transform how people explore and move across Britain and Ireland. Slow Ways, a non-profit Community Interest Company, has already...

Heat Engineer Software Limited receives significant investment from Greenarc

Heat Engineer Software, the Lancashire based company at the forefront of heat loss calculations and the sizing of both renewable and traditional heating equipment,...

The Kim Jong Un Billboard That’s Shaking Up Manchester’s Fashion Scene

An eye-catching new billboard in Manchester featuring North Korea’s leader is challenging norms—and turning sustainable fashion on its head. A giant image of Kim Jong...

Bouquet basics for Dad: Flower expert shares how to make those Father’s Day blooms last

A flower expert has revealed his top tips for dads to look after their blooms if they receive them for Father’s Day. Colourful bouquets and...

More News

Heat Engineer Software Limited receives significant investment from Greenarc

Heat Engineer Software, the Lancashire based company at the forefront of heat loss calculations and the sizing of both renewable and traditional heating equipment,...

Thompson Wright Accountants announces retirement of senior director David Wright

Thompson Wright Chartered Accountants based in Newcastle-under-Lyme, has announced the retirement of senior director David Wright, after more than 40 years of dedicated service. David...

FREESMO Rolls Out Amazon Voucher Offer for New Customers Ahead of Vape Ban

In a bid to encourage more smokers to switch to safer alternatives, FREESMO has unveiled a new customer reward scheme—offering a £20 Amazon voucher...