Published by Stephen Allott on 7 March 2016
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Researcher Alexander Hitchcock wrote an article in Prospect in which he argued that Whitehall could save £10 billion in public procurement spend every year through greater use of digital procurement portals. This comes after the publication of Reform‘s report on the subject, Cloud 9: the future of public procurement.
Using new digital methods in public purchasing would build on the work of the Coalition to date, in particular the G-Cloud framework. It would also bring a range of other benefits alongside considerable savings, including bringing the government further in line with its digital strategy, and diversifying the supplier base. The government can go much further than it already has: comparisons have been drawn with Estonia, another country bound by EU rules, whose government directs 50 per cent of its procurement through online portals. If the UK matched this, it could save £10 billion a year.
“The government has committed to building on the digital revolution. It announced late last year that it would “extend the lessons” of digital procurement by introducing a new online platform, the “Crown Marketplace.” Bold action here will help the government find much-needed efficiencies in public spending.”
Read the full article here.