Procurement rules and legislation
In its capacity of providing local authority services for the 'Square Mile', regulations exist at a national and local level which the City of London Corporation must follow when procuring goods, services and works.
Check Gov.uk for regular government updates on the Transforming Public Procurement Regime.
The City Corporation's procurement processes are regulated by the Public Contracts Regulations 2015 which implement in England and Wales the EU Directive 2014/24/EU on public procurement.
Where the Regulations apply, contracts must be advertised in the Find a Tender Service (FTS) and there are other detailed rules that must be followed. The rules are enforced through Member States' courts and the European Court of Justice.
Officers undertaking procurement on behalf of the City Corporation also have a duty to apply best value principles in accordance with section 3 of the Local Government Act 1999. The best value principles are relevant to the entire procurement process.
The duty to achieve best value for the City Corporation requires officers to consider economic, environmental and social aspects and outputs in relation to the purchasing decisions we make. Through our procurement processes we aim to minimise the negative impacts associated with goods, services and works and their associated supply chains and maximise potential benefits including social value. This commitment is regulated in public services contracts by the Public Services (Social Value) Act 2012 and the Responsible Procurement Policy.
Procurement activities must also comply with the City Corporation's Standing Orders and Financial Regulations. These are the City Corporation's own internal rules that govern its operations.
In addition, the City Corporation has a Procurement Code which integrates these local rules with those issued by the UK such as the Public Contracts Regulations 2015. Any procurement undertaken by the City Corporation must follow the City Corporation's Procurement Code.
The procurement procedures to be followed for the various thresholds contained in the Procurement Code are provided below:
Supplies and services and works thresholds
Operational purchasing
Up to £100,000, officers may seek quotations directly from suppliers. Where a Corporate Contract exists it must be used.
One-off purchasing
For works purchases valued more than £100,000 and less than £400,000, a request for quote must be sought from a minimum of three suppliers via the eTendering portal.
Strategic purchasing
For purchases valued at £100,000 or more for goods and services or at £400,000 or more for works, an options appraisal must be undertaken by the Commercial Service and any resulting procurement must be carried out via the eTendering portal.
Local, SME and social enterprise procurements
Except where there is a corporate contract already in place, the Procurement Code requires officers to invite a UK based SME, Social Enterprise or a local supplier from one of the Local Procurement target boroughs to quote for all contracts valued up to £100,000.
The Local Procurement target boroughs, selected due to high levels of multiple deprivation according to the English Indices of Deprivation 2019 are: Barking and Dagenham, Hackney, Haringey, Tower Hamlets, Enfield, Newham, Islington, Lambeth, and Southwark.
Accessibility
Where the Commission entails the Contractor producing any form of digital or printed communications, such Materials must comply with accessibility requirements under ‘The Public Sector Bodies (Websites and Mobile Applications) (No.2) Accessibility Regulations 2018’. For further information, please refer to Gov.uk.