Public Procurement and Property

Public Procurement Strategy for Scotland – two years on

May 28, 2025 by Teigan Kelly No Comments | Category Procurement news, Scottish Procurement

The first ever Public Procurement Strategy for Scotland (PPSfS) was published on 27 April 2023, establishing a single vision for the whole Scottish Public Procurement community:

“Putting public procurement at the heart of a sustainable economy to maximise value for the people of Scotland”.

A year of progress

On the first anniversary of the strategy, we shared a collection of case studies showing how public bodies across Scotland had already begun to embed the strategy into their governance arrangements. These examples highlighted how the strategy is being embedded and used to drive real outcomes right across the public sector in Scotland.

Two years on – measuring impact

To mark the second anniversary, we are introducing eight Key Performance Indicators (KPIs) that will help us measure progress against the strategy’s vision. These KPIs aim to demonstrate the value and impact of procurement activity across Scotland.

You can explore these KPIs in our attached infographic, which provides more detail on the measurement areas. The data shared will be used as a baseline. From here, we will track and evolve these indicators to demonstrate impact and progress towards delivering the aims of the strategy.

Why measurement matters

Nick Ford, Director for Procurement and Property, said:

“Measurement of the strategy will support the development of initiatives, practices and policies to enable the public procurement profession in Scotland to deliver innovative approaches, whatever comes our way in the future.”

Background

The intention of the PPSfS is to provide a high-level vision and roadmap for Scottish Public Procurement covering five years (2023-2028), which all public sector bodies can align to and deliver against. Created by a cross sectorial working group, this strategy has been developed by our procurement community, for our procurement community and is underpinned by four key enablers:

• procurement capability
• supplier development
• engagement
• collaboration

Additional information

• Data caveat – it should be noted that from next year the annual report data will cover the period from when the PPSfS was first published
• Public Procurement Strategy for Scotland – KPI Measurement – Infographic (plain text version below)

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For further information on public procurement in Scotland please visit www.gov.scot/procurement

Please email enquiries to scottishprocurement@gov.scot

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Key Performance Indicators infographic – plain text version

Public Procurement Strategy for Scotland – Putting public procurement at the heart of a sustainable economy to maximise value for the people of Scotland.

Key Performance Indicators (KPIs)

The Public Procurement Strategy for Scotland uses eight Key Performance Indicators as a baseline to measure the impact and progress towards the vision set out within the strategy.

Key Performance Indicator 1 – Procurement spend in Scotland

Known Scottish public sector procurement spend totalled £16.6 billion. £8.9 billion was spent in Scotland (53.4% of total known procurement spend).

Key Performance Indicator 2 – Scottish GDP and Jobs generated:

• around £13.7 billion of economic activity
• 120,000 full-time equivalent jobs
• £7.5 billion to Scottish GDP was generated from the £16.6 billion in known public procurement spend in 2022-23

Key Performance Indicator 3 – Collaborative Spend

Spend from Scottish Government National CAT A frameworks for 22-23 was £1.4 billion.

Key Performance Indicator 4 – Local Procurement Spend

The level of deprivation in suppliers’ local areas was known for £8.7 billion of public procurement spend in Scotland. Of that, 54.6% (£4.8 billion) went to suppliers based in the 60% most deprived areas. £3.3 billion of known public sector procurement spend in Scotland was with suppliers based within the local authority area of the purchasing body.

Key Performance Indicator 5 – SME and Third Sector Spend

Of the £15 billion overall spend, where the business size was known, SMEs received £7.1 billion (47.5%). Of the £7.7 billion spend in Scotland where business size was known, 61 pence in every pound (£4.7 billion) went to SMEs. Third sector organisations received an estimated £1.2 billion (or 13.3%) of known public procurement spend in Scotland during the reporting year.

Key Performance Indicator 6 – Professionalisation

Out of a total of 1017 FTEs reported as in the Procurement and Commercial Function across Scotland in 2024-25, 64% have professional accreditation or are studying towards a relevant professional or academic qualification.

Key Performance Indicator 7 – Climate Emergency

107 public bodies gave examples of how environmental wellbeing and climate change being addressed through procurement in 2022-23, including environmental criteria in procurement exercises, using climate action plan templates, and encouraging staff to complete climate literacy eLearning.

Key Performance Indicator 8 – Community Wealth Building

In 2022-23, in addition to the spend retained in Scotland and within the local authority area of purchasing bodies, 2,889 contracts with a scored Fair Work criterion were awarded, £22.8 million of public procurement spend went to supported businesses.

Data for KPI 1, 2, 4, 5, 7 and 8 is taken from the Annual Report on Procurement Activity in Scotland 2022-2023

Tags: Public Procurement Strategy for Scotland

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