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The Procurement Bill

09 January 2023

Lead MP

Jeremy Quin

Debate Type

Bill Debate

At a Glance

Jeremy Quin raised concerns about the procurement bill in the House of Commons. Other MPs contributed to the debate.

How the Debate Unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said:

Lead Contributor

Jeremy Quin

Opened the debate

Moves the bill for second reading, emphasising its role in improving public procurement processes post-Brexit. He outlines the benefits of simplifying regulations to save taxpayer money, drive innovation, and deliver economic growth across various sectors. The Bill aims to enhance transparency, value for money, and integrity in public procurements.

Jeremy Quin Con

Haltemprice and Howden

Emphasises that the Bill will consolidate existing procurement regulations into a single regime, improving transparency and value for money. Discusses specific provisions like conflict of interest declarations, procurement policy notes on social value and net zero commitments, and measures to protect supply chains from collapse.

John Spellar Lab

Eston

Intervenes to question the Minister's claim that the procurement system has improved due to Brexit. Highlights concerns about a specific Ministry of Defence contract involving Navantia and its potential impact on UK shipbuilding jobs.

Bill Esterson Lab

Sefton Central

Questions the Minister regarding The Guardian's report about a Conservative peer securing a contract through connections during the pandemic, seeking clarity on how the Bill addresses such cronyism.

Mike Amesbury Lab

Warrington South

Asks which part of the Bill would prevent future landlord-Minister relationships from securing contracts, highlighting a need for stricter ethics regulations.

Tim Loughton Con

East Worthing and Shoreham

Welcomes clause 65 of the Bill which aims to prevent procurement from countries found guilty of genocide or human rights abuses, specifically mentioning China.

Bob Seely Con

Isle of Wight

Calls for an amendment to reduce dependency on authoritarian states like Russia and China, emphasising lessons learned from the Ukrainian war's economic impacts.

Caroline Lucas Green

Brighton Pavilion

Questions whether the Government will accept amendments requiring contracting authorities to maximise environmental benefits and comply with climate change legislation.

Debbie Abrahams Lab

Oldham East and Saddleworth

Asks about protections for supply chain from collapse, highlighting concerns similar to those raised during Carillion's bankruptcy.

Richard Burgon Lab

Leeds East

Calls for an amendment that prioritises government contracts awarded to companies paying staff the real living wage, aiming to set employment standards via public procurement.

John Penrose Con

Brighton Kemptown

Welcomes measures for transparency and competition in procurement, questions about expanding the evaluation task force's role to cover more Government procurement spending.

Paul Howell Con

Guildford

Highlights a case of NHS procurement complexity hindering PolyPhotonix's light therapy mask approval, suggesting opportunities for easier cross-NHS trust approvals under the Bill.

Stephen Kinnock Lab

Aberafan Maesteg

Supports setting indicative targets for domestically produced steel in Government-funded projects to boost domestic production and sales.

Debbie Abrahams Lab

Oldham East and Saddleworth

Asks about monitoring adherence to 30-day payment terms through audited accounts and inquires about penalties for non-adherence.

James Duddridge

Suggests holding discussions with business managers to ensure Royal Assent for this Bill before the Trade (Australia and New Zealand) Bill to avoid issues related to new procurement rules becoming obsolete.

Angela Rayner Lab

Ashton-under-Lyne

The Bill is a sticking-plaster solution that fails to address issues such as late payments for SMEs, social value, defence spending, transparency, non-performance claw-back clauses, outsourcing, and environmental factors. It allows taxpayers’ money to line the pockets of the well-connected.

Stephen Kinnock Lab

Aberavon

The MOD contract for three fleet solid support vessels was awarded to a Spanish-led consortium, which is deeply disappointing and outrageous that ships will be built without British steel.

Jeremy Quin Con

Welcomed the fact that as a result of the FFS award, we will see revitalisation of Harland & Wolff and additional shipyard capacity, and emphasised the importance of having the right equipment for our armed forces.

Anthony Mangnall Con

Stated that the Bill does not put in a VIP lane but puts more oversight on procurement rules to stop anything like what we have seen in the past from happening again.

Mark Francois Con

Rayleigh and Wickford

Noted that the Infrastructure and Projects Authority audits all major infrastructure projects across Government every year and grades them on a dashboard system, indicating existing transparency mechanisms.

Caroline Lucas Green

Brighton Pavilion

Agreed that procurement has a vital role to play in greening our economy but noted that the Bill does not include scope 3 emissions in supply chains, which is necessary for meeting net zero targets.

Jacob Rees-Mogg Con

North East Somerset

Supports the light-handed procurement regime for SMEs as it reduces burdens and costs, making it easier for small firms to access Government contracts. Emphasises that large companies can afford to comply with procurement regulations whereas SMEs find them burdensome. Argues for direct engagement with SMEs to achieve better value for money. Also advocates excluding private utilities from the regime due to their different risk appetite compared to public bodies.

Jim Shannon DUP

Strangford

Intervened to ask whether the legislation would help SMEs secure Government contracts during emergencies such as the pandemic. Suggested that it would provide a better chance for local businesses.

Angela Rayner Lab

Ashton-under-Lyne

Did not provide detailed arguments in her intervention but expressed disapproval through interjections, such as cheering during a debate against social value criteria.

Rosie Winterton

Indicated dissent without providing further details or reasons.

Kirsty Blackman SNP

Aberdeen North

The Bill undermines devolution and needs corrections before it can be acceptable. It should explicitly support environmental objectives to match Scotland’s more ambitious climate change targets. The UK Government's handling of procurement during the pandemic shows a lack of adherence to principles such as transparency, equal treatment, non-discrimination, and proportionality.

Robin Millar

Asked Kirsty Blackman for clarification on whether she is referring to the Scotland Act 1998 and devolution as set out within its terms.

Alicia Kearns Con

Rutland and Stamford

Calls for updating procurement rules to address national security concerns. Outlines risks of using equipment from hostile states, such as Chinese companies, which pose significant data exfiltration threats. Advocates for proactive measures to identify untrusted suppliers and establish a SAGE-style committee on public procurement focused on national security.

Nick Smith Lab

Blaenau Gwent and Rhymney

Smith argues for the need of measures to penalize PPE profiteers who benefited from super-profits during public procurement contracts. He raises concerns about companies like Unispace Global Ltd that have changed their identity multiple times, making it difficult to track financial transactions and hold them accountable.

Mark Francois Con

Rayleigh and Wickford

Francois supports the need for reform in defence procurement. He cites a 2021 Public Accounts Committee report that states the Department’s system for delivering major equipment capabilities is broken, wasting taxpayers' money. Francois highlights multiple red and amber projects within MOD procurement programmes, indicating an abysmal record.

Samantha Dixon Lab

Chester North and Neston

Emphasises the importance of social value principles in procurement, highlighting their success in the regeneration project at Chester. Discusses various initiatives that have led to job creation, educational opportunities, environmental benefits, and economic growth.

Harriett Baldwin Con

West Worcestershire

Highlights the potential of an open procurement system to reduce costs and increase transparency. Advocates for innovation by suggesting that qualification processes should be streamlined to enable start-ups to participate more easily in public procurement. Also questions the Minister on how single-source suppliers can innovate down their supply chains without compromising national security.

Anthony Mangnall Con

Buckingham

Mr Mangnall welcomed the Bill's efforts to streamline public procurement processes and reduce bureaucracy, which he believed would benefit businesses of all sizes. He highlighted the potential for British businesses to win foreign contracts through new trade agreements with countries like Australia and New Zealand. Mr Mangnall also emphasised the need to exclude companies that have performed poorly or are involved in unethical practices such as human rights abuses.

Sarah Olney Lib Dem

Richmond Park

Argues for stricter regulations to prevent VIP lanes, promotes social value in procurement that benefits local communities, supports inclusion of NHS in the Bill. Critiques lack of environmental considerations and calls for more transparency.

Robin Millar Con

Worcester

Mr. Millar supports the Procurement Bill, emphasising its potential to improve value for money, access for small and medium-sized enterprises (SMEs), transparency, and flexibility in local procurement processes. He argues that it will enhance local authorities' autonomy, reduce paperwork burdens on SMEs, prevent duplication of efforts, and ensure better competition among businesses. However, he also raises concerns about potential barriers to business access due to the devolution of powers and a lack of standardised reporting rules across the UK.

Hywel Williams PC

Arfon

Mr. Williams supports aspects of the Procurement Bill, noting co-operation between Welsh and UK Governments. He highlights concerns about concurrent powers being amended to be 'concurrent-plus' for constitutional protection, commencement powers reserved for Ministers of the Crown rather than Welsh Ministers, and suggests that training materials should consider potential divergence between England and Wales. He also emphasises the importance of fair work, procurement spend targets in Wales, and local economic benefits.

Florence Eshalomi Lab Co-op

Vauxhall and Camberwell Green

Ms Eshalomi criticises the lack of transparency in procurement processes, particularly during the pandemic PPE contracts. She argues that the Government has failed to learn from these mistakes and restore public confidence in the system. The speaker calls for stronger measures to claw back wasted money and ensure value for taxpayers.

Anthony Mangnall

Mr Mangnall interjects, expressing confidence that the Bill creates a platform whereby poorly performing businesses will not be able to bid into contracts. He highlights the transparency measures in place to prevent this.

John Spellar Lab

Meriden

The Member believes the real issue lies within Whitehall rather than Brussels, criticising Ministers for not supporting British industry as effectively as other European countries.

Nick Smith Lab

Blaenau Gwent and Rhymney

The Member asks the Minister about the timeline for the single digital platform to be operational, reflecting concerns over implementation delays.

Alicia Kearns Con

Rutland and Stamford

Acknowledging a previous meeting with the Minister, this Member asks about proactive measures against potential non-compliance from businesses and subcontractors, seeking assurance on the procurement unit's approach.

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