Brexit: What lies in store for procurement?

The UK Parliament has rejected the deal that the government had negotiated with the EU.…...

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The UK Parliament has rejected the deal that the government had negotiated with the EU. With a potential no-deal scenario on the horizon, it looks like the UK will leave the European Union at the end of October 2019 without coming to an agreement. Also, the Conservative leadership race has almost ended, and the Tories must decide between Boris Johnson and Jeremy Hunt. With this Brexit update, businesses are asking what will happen to procurement.

No-deal Brexit

The government has said that procurement wouldn’t change even if the UK leaves the EU without a deal, as most of the procurement-related regulations are part of the UK and Scottish law.

The government has said that the UK would become an independent member of the Government Procurement Agreement (GPA) in the case of no deal. The membership would enable companies in the UK to bid for contracts in the member countries. However, businesses that want to win contracts and work in the UK would have to apply for an EORI number.

Public sector procurement

In public sector procurement, the process would stay much the same as it is now. However, without a deal, the notices for contracts and projects would be sent to a new e-notification service within the UK. This is because the contracting authorities in the UK would not have access to the EU Publications Office as well as the Official Journal of the EU, which is meant for public procurement in the European Union.

To enable publishing to the new e-notification service, most contracting authorities would use a third-party provider that they might already be using to publish to the EU Publications. The provider would have to integrate their services with the new e-notification service. On the other hand, contracting authorities would need a Contracts Finder Supplier Registration Service account if they want to publish directly to the e-notification service, circumventing the third-party provider.

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