The UK will hold a general election in just six weeks time. The news comes following an announcement by Prime Minister Rishi Sunak. Britons head to the polls on July 4th, leaving less than two months until the country could see its first change of ruling party in 14 years.
Despite Sunak’s assertions on Wednesday that the UK economy is improving and inflation is falling, other key elements of the Conservatives’ platform remain unfulfilled. With Sunak’s party facing criticism over immigration, environmental policies, and the privatisation of utilities like Thames Water, there is a very real chance that the UK could see the Labour party leave opposition for the first time in over a decade.
As the election nears, what might a Labour government look like for procurement in the UK? Would a Labour government create the necessary procurement reforms to buoy the country’s economy? How might that look different from another five years of Tory rule?
What would Keir Starmer do for UK procurement?
Labour Leader Sir Keir Starmer has been accused of making frequent U-turns on policy issues like scrapping tuition fees and increasing income tax for the UK’s top 5% of earners. His critics have also also pointed out that he has stayed relatively quiet with regard to big, pre election promises, instead focusing on his six priorities he would address first upon becoming prime minister.
In its pledge to provide “a new deal for working people,” the Labour party said in January that it will “use public procurement to support good work” and “promote high standards”. In practice, this appears to hint that public procurement under Labour would encourage the reshoring of construction, infrastructure, and other public procurement contracts.
Labour claims that it would use the public purse to support the businesses that strengthen local jobs and supply chains. They add: “Labour will make, buy, and sell more in Britain to raise standards, awarding more public contracts to British businesses and bringing the jobs of the future to the UK.”
Small businesses promised a bigger seat at the table
Labour’s plan for small business in the UK also references procurement. In the UK, there are £30 billion worth of public contracts that “would be suitable for smaller businesses”. According to Labour’s research 90% of them are still being awarded to big businesses.
Promising “a fair chance at public contracts,” Labour’s plan would require that at least one SME makes the shortlist when any smaller, suitable contract goes out to tender.