Foundation Trusts and NHS England will need to apply a lower procurement threshold from 16 August 2021
The Public Procurement (Agreement on Government Procurement) (Amendment) (No. 2) Regulations 2021 (the “Amendment Regulations”) have been now been published.
Upon first glance, the Amendment Regulations make a few minor changes to the Public Contracts Regulations 2015 (as well as other associated, post-EU exit, technical regulations).
However, of major significance to Foundation Trusts and NHS England, is that Schedule 1 to the Public Contracts Regulations 2015 (PCR 2015) will be replaced by Schedule 1 of the Amendment Regulations.
This means that the following organisations fall within the definition of Central Government Authorities:
NHS Business Services Authority
NHS Commissioning Board (known as “NHS England”)
NHS Foundation Trusts
thereby ensuring that, from 16 August 2021, NHS England and NHS Foundation Trusts will need to apply the lower financial threshold to the procurement of services and supplies.
The threshold from 16 August 2021 will be £122,976, rather than £189,330.
The flexibilities NHS England and Foundation Trusts currently have as sub-central contracting authorities, for example to initiate procurement competitions by publishing a single stage PIN notice, will also no longer apply.
The procurement position for NHS Trusts remains unchanged as they were already classified as Central Government Authorities in Schedule 1.
The UK's devolved nations of Northern Ireland, Scotland and Wales have also legislatively consented to the application of the Amendment Regulations to each of their respective jurisdictions.
Habitual users of the Public Contract Regulations 2015 (like us!) will want to ensure they are referring to the replacement Schedule 1 inserted by the Amendment Regulations into PCR 2015, so that these, and other consequential amendments, are picked up.
Arfon Consulting’s specialist procurement team can advise you on the issues raised within these Amendment Regulations, or any other procurement issues.
