Contract challenges on the rise

The rise in contract complaints from suppliers to the public sector has been in the news recently. The Financial Times reported that 73 complaints were made to central government about public sector procurement last year compared with only fourteen complaints between 2007 and 2008.

It is suggested that this dramatic increase is as a result of the economic climate where It has become increasingly important for suppliers to gain public sector business from a dwindling number of contracts. This means that companies are more likely to challenge decisions when they feel that the tendering process has been flawed.

In the context of this changing environment, public sector organisations need to be more thorough when putting contracts out to tender or they risk regular and expensive complaints.

Alan Heron, Senior Procurement Manager at PfH states "The impact of last year’s CSR has been widespread, and provided a catalyst for companies to re-examine the quality of service being delivered to them by their suppliers. This renewed focus on service levels is welcome, and healthy."

PfH Members can be assured that their consortium’s professional procurement team has a rigorous process in place for tender and contract management. All PfH framework agreements are EU compliant and the team have a thorough understanding of the current EU regulations. The services and advice PfH provides means that Members can minimise the risk of being challenged. If you have concerns about EU compliance, call the PfH team on 0845 864 5260.

Click here to view The Financial Times article.