Authors

Elvira Uyarra
University of Manchester

Rikesh Shah
Connected Places Catapult

This research brief discusses the implication of recent policy developments, including the National Procurement Policy Statement (NPPS) and the Procurement Act 2023, which highlight the potential for procurement to drive local economic growth and innovation. It argues that, in order to harness the full potential of public procurement for regional development, a shift towards more strategic, innovation-friendly, and regionally sensitive procurement practices will be needed. Key recommendations of this brief include:

• Decentralising Procurement: Empower local and regional authorities with greater discretion and financial capacity to make procurement decisions that align with local economic development needs.
• Supporting Local and Innovative Suppliers: Reduce barriers to entry for SMEs and fast-growing firms by simplifying procurement processes, diversifying contract structures, and increasing pre-market engagement.
• Enhancing Data Transparency: Improve procurement data collection and publication to track spending distribution, supplier participation, and innovation impacts.
• Embedding a Pro-Innovation Approach: Move beyond rigid specifications to problem-driven procurement, fostering creative solutions through collaborative procurement models.

For further insights into procurement’s role in regional development and innovation, refer to research by the Innovation Procurement Empowerment Centre (IPEC), which continues to analyse procurement strategies, spending patterns, and policy impacts across the UK.

Public Procurement and Regional Development in the UK: Challenges and Opportunities in a New Policy Landscape

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