How do public tenders work?

Would you like to learn more about public tenders? Then you have come to the right place. Public sector tendering can be complicated if you don’t understand the processes that come with it.

Learn more about how public tenders work below.

Public Tenders

Let’s go back to the basics. With regard to the public procurement process, the term “public tender” refers to any contract opportunity published by a public sector body seeking to purchase any goods, services, products, works or utilities that are required by that organisation.

A public tender may also be referred to as an “open tender” or “competitive tender”. Once it is published it is open to all qualified bidders.

This creates competition between suppliers that meet the specific requirements outlined in the contract notice, and allows the public sector buyer to select the most suitable supplier from a wider pool.

A “tender” is specifically the actual bid that is submitted by a supplier seeking to win the contract. When considering which supplier is right for the contract, buyers have procedures in place to ensure that the selection process is fair and transparent.

Thresholds

A public sector tender will often be categorised as ‘below OJEU’ or ‘OJEU’:

central government is worth less than €144,000 (£118,133), it only needs to be advertised in the UK.

This also applies to works contracts less than €5,548,000 (£4,551,413) and social and other specific services contracts worth less than €750,000 (£615,278).

Contracts worth more than the values set out above must be advertised throughout the European Union. These contracts are sent to the Official Journal of the European Union (OJEU).

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With so many opportunities in the UK public sector marketplace available, learn more about how to find public sector tenders.

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