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80% of firms say winning public sector contracts too complicated

Eighty per cent of firms say getting public sector work is still too complicated, according to a new report.

A survey conducted by the North East Chamber of Commerce (NECC) revealed that businesses see the process of pitching for public sector contracts as complex and inconsistent and nearly three quarters of those surveyed said simpler documents would make them more likely to bid.

The report, which surveyed 190 businesses, also highlighted the lack of a consistent approach taken by different public sector bodies including the way they advertise opportunities and the requirements expected of tendering companies. In addition, there are often completely different pitching processes in place depending on the authority.

Ross Smith, head of policy and research at NECC, said: “The survey confirms many of our fears – that the process of public sector tendering is putting businesses off.

“The public sector makes up a large part of our regional economy and it is critical that it uses the £3.5bn it spends on goods and services each year for the maximum economic benefit of the North East.

“However in order to capitalise on this opportunity it is essential that more is done to make the process of tendering more straightforward and user-friendly.”

According to the survey a large part of the problem is a lack of awareness among businesses of the opportunities available in the public sector, with more than 60 per cent saying that better advertising of contracts up for tender would make them more likely to bid.

Mr Smith added: “Local authorities in particular are making important efforts to change but businesses have yet to feel the full benefits so the public sector needs to do all it can to pick up the pace of its reforms to the procurement system.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .