Procurement Act 2023: new public contract rules now in force
The Procurement Act 2023 replaced the previous EU-derived procurement regime on 1 January 2026, creating a single unified framework for public sector contracting. Contract modification rules under Section 70 follow on 1 April 2026. Businesses bidding for public contracts must understand the new transparency requirements, central digital platform, and updated remedy processes.
What has changed
The Procurement Act 2023 came into full force on 1 January 2026, replacing three separate EU-derived regimes — the Public Contracts Regulations 2015, the Utilities Contracts Regulations 2016, and the Concession Contracts Regulations 2016 — with a single unified framework for public procurement in England and Wales.
The Act was enacted under the previous government and carried forward by the current administration. It was commenced via the Procurement Act 2023 (Commencement No. 4) Regulations 2025, with one exception: Section 70 (contract modification) takes effect from 1 April 2026.
Financial thresholds and valuation rules were also updated from 1 January 2026 by the Procurement Act 2023 (Threshold Amounts) (Amendment) Regulations 2025.
- Main provisions in force
- 1 January 2026
- Section 70 (contract modification)
- 1 April 2026
- Legislation replaced
- Public Contracts Regulations 2015, Utilities Contracts Regulations 2016, Concession Contracts Regulations 2016
- Geographic scope
- England and Wales
- Enforcing body
- Crown Commercial Service / Cabinet Office
Central digital platform
All above-threshold procurements must now be published on a central digital platform. Contracting authorities are required to issue mandatory transparency notices at each stage of the procurement cycle — from planning through to contract award and beyond.
For suppliers, this means a single place to find public contract opportunities. You no longer need to monitor multiple portals. However, you must register on the platform and familiarise yourself with the notice formats and timelines to avoid missing opportunities or deadlines.
Transparency requirements
The Act introduces mandatory transparency notices at each stage of the procurement process. Contracting authorities must publish notices when they:
- plan a procurement (pipeline notices)
- issue a tender
- award a contract
- modify a contract (from April 2026)
- terminate a contract
For suppliers, this increased transparency makes it easier to identify upcoming opportunities early and to challenge decisions where appropriate. Monitor pipeline notices to prepare bids well in advance of formal tender publication.
Contract management duties
Contracting authorities now have formal contract management duties for above-threshold contracts. These include setting and reporting against key performance indicators (KPIs).
If you hold or bid for public contracts, expect more structured performance monitoring. Contracts will include defined KPIs, and your performance against them will be recorded and may be visible to other contracting authorities. Strong delivery records will become an increasingly important competitive advantage.
Updated remedy and standstill processes
The Act introduces updated supplier remedy processes with a new standstill and review mechanism. If you believe a contracting authority has not followed the correct procurement procedures, the Act provides a structured route to challenge the decision before the contract is signed.
The standstill period — the window between contract award notification and contract signature — gives unsuccessful bidders time to seek review. Familiarise yourself with the new timelines and procedures so you can act quickly if needed.
Phase 2: contract modification (from 1 April 2026)
Section 70 of the Act, covering contract modification, comes into force on 1 April 2026. This sets out the circumstances in which a public contract can be modified after award without running a new procurement.
For suppliers, this matters because the rules governing contract variations, extensions, and scope changes will be different from those under the old regime. If you hold existing public contracts, check whether any planned modifications need to comply with the new rules from April 2026.
What you need to do
If your business bids for or holds public contracts:
- Register on the central digital platform — ensure your organisation is set up to receive notifications and submit bids through the new system
- Review your bid processes — update templates and procedures to align with the new transparency requirements and notice formats
- Monitor pipeline notices — use early-stage transparency notices to identify and prepare for upcoming opportunities
- Understand the new remedy processes — familiarise yourself with the standstill period and challenge procedures before you need them
- Check existing contracts — if you hold public contracts with planned modifications, assess whether they will be affected by the Section 70 rules from April 2026
- Track your performance — expect KPI monitoring on above-threshold contracts and ensure your delivery meets agreed standards
Risks of non-compliance
Suppliers who do not adapt to the new framework risk:
- Missing opportunities — if you are not registered on the central platform, you will not see above-threshold tenders
- Failed bids — submissions that do not meet the new procedural requirements may be disqualified
- Poor performance records — KPI reporting means underperformance is now formally documented and visible, which could affect future bids
- Contract disputes — modifications made without following the Section 70 process (from April 2026) may be challenged by other suppliers
Scotland
The Procurement Act 2023 applies in England and Wales only. Scotland has separate procurement legislation under the Procurement Reform (Scotland) Act 2014 and the Public Contracts (Scotland) Regulations 2015. If you bid for public contracts in Scotland, check the Scottish Government's procurement guidance for the applicable rules.
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