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Public Accounts Committee report on Government Procurement

Scrutiny

2 July 2025

The Public Accounts Committee has released its final report on the Government’s procurement practices.

The Review was launched to examine how the Government acquires goods, services and works from external suppliers, whether best practice is consistently followed and whether value for money is being achieved.

The PAC held four Public Hearings as part of the Review, including one with representatives of Jersey’s Institute of Directors, Construction Council and Chamber of Commerce. The Committee heard evidence from the business community regarding a perceived lack of dialogue from Government and the difficulty experienced by small to medium businesses (SME’s) engaging with complex systems. The PAC also held Hearings specifically focused on IT procurement and the recent joint ferry tender process.

In total, the Committee made 30 key findings and 19 recommendations. Among the recommendations are:
  • Ensure increased accountability for procurement breaches by including them as an area of discussion within performance appraisals for Accountable Officers and that all breaches are reviewed by the Risk and Audit Committee twice yearly.
  • Provide more support to Small and Medium Businesses (SME’s) through dedicated support lines and increased visibility of Government work.
  • The introduction of a simplified tender process for contracts below £100,000 so small to medium size businesses, who may have limited resources, can submit quotes. Government should also update procurement scoring criteria where possible to provide additional points to businesses that are able to demonstrate economic and social value through job creation and tax paid back to Government.
  • Report publicly on how procurement activity is meeting social value commitments and update strategy templates to provide narrative detail on how social value is being met through procurements.
  • Review the funding cycles for charities with a view to moving towards a 3-year funding cycle.
  • Conduct a lessons-learned exercise on the unsuccessful joint ferry tender process

PAC Chair, Deputy Inna Gardiner, said: ‘From the evidence we have received, it is clear that there is a disconnect between the Government’s procurement practices and local businesses, which on the whole feel they are not properly supported through the process. We have heard from bodies representing Jersey businesses that they feel there is a lack of engagement from Government around feedback when tender offers are rejected and that more can be done to ensure taxpayer money is spent and kept in the Island. Government should meet more regularly with local businesses to understand their concerns’

‘We believe that the scoring system for suppliers should be reviewed to ensure businesses are recognised for their contribution to the island outcomes when bidding for Government contracts.

‘The Committee remains unsure where ultimate responsibility for Government procurement lies and there appears to be a lack of clarity as to how breaches, where contracts exceed the agreed amount, are identified, reviewed and challenged.

‘There are a number of areas that the Committee feels need addressing and where quick improvements can be made, particularly in relation to engaging with businesses to resolve frustrations and understanding some of the issues they are encountering. We encourage the Government to consider our recommendations and look forward to hearing its response to our Report.’

The full report can be read here

For more information about the PAC’s review and its terms of reference, visit the States Assembly website here.