6.29 The UK's open markets are a clear source of competitive advantage. The UK's transparent and fair approach to public procurement is viewed positively by inward investors. However, UK procurement performance compares unfavourably in some regards to other countries in Europe:
• it can be slow and cumbersome. Recent Government studies have reinforced the cost implications of waste and inefficiency in UK procurement processes that contribute to the UK being one of the most expensive places in Europe for delivering new infrastructure;
• forward pipelines are not sufficiently transparent and visible in the UK, stifling industry's appetite to invest with confidence to meet long term market needs;
• the UK places too much emphasis on the procurement process itself and is risk averse about talking to suppliers outside of the process. Pre-procurement engagement and strategic dialogue with suppliers is better in other EU countries;
• some businesses suggest the UK is prone to procuring less standardised and more bespoke solutions than other European countries; and
• Government purchasing can be fragmented and procurement skills unevenly distributed.
6.30 Improving public procurement processes will make the UK a better place to invest. The Government will implement a package of measures that incorporates best practice from the EU and private sector to:
• publish rolling medium term pipelines for its forward procurements to improve visibility and certainty that will give suppliers the confidence to invest strategically for the future;
• make better use of pre-procurement dialogue with suppliers at all levels, to encourage efficiency and innovation and establish more sustainable supply chains;
• utilise the visibility of the pipeline and improved strategic dialogue with suppliers so that Government can explain its procurement needs, identify areas in which there are capability gaps in the supply chain that need to be addressed to meet future demand and take action to remove barriers to growth; and
• reduce the cost burdens of procurement on industry through setting a presumption against the use of competitive dialogue where it cannot be demonstrated that it offers the best value for money and implementing LEAN sourcing principles from January 2012.
6.31 The pipelines have been published for Government construction and the wider infrastructure sector, alongside ICT and facilities management opportunities. In taking forward this package of measures, Government is already engaging with industry to change behaviours, for example through the 'lean' programme and improving infrastructure procurement and delivery through the Infrastructure Cost Review programme.