The NPPS is introduced pursuant to the Procurement Act 2023 (Act) and if approved by Parliament is expected to come into effect on 28 October 2024.

Through the NPPS, the government has specified the following national priorities:

• value for money – this must be placed at the forefront of all procurement activities, and it means optimising the use of public funds by balancing effectiveness, efficiency and economy over the life-cycle of a product, service or works to achieve the intended outcomes of the procurement. It can include wider socio-economic and environmental benefits and impacts;
• social value – contracting authorities should have regard to the following outcomes alongside any additional local priorities – (i) creating resilient businesses and opportunities for quality employment and skills development; (ii) improving innovation, supply chain resilience and security of supply; (iii) tackling climate change and reducing waste;
• small and medium-sized enterprises – described by Government as the backbone of our economy, it is stated to be vital that contracting authorities support businesses to achieve sustainable growth and open up public procurement opportunities to SMEs, voluntary, community and social enterprises creating a thriving, competitive marketplace;
• commercial and procurement delivery – contracting authorities should consider whether they have the right operational policies and processes in place to manage the key stages of commercial delivery;
• skills and capability procurement – contracting authorities are to consider their organisational capability and workplace plans, with regard to procurement and contract management skills and resources required to deliver value for money.

Contracting authorities [2] should note the following:

• contracting authorities are under a statutory duty to have regard to the policy objectives contained within the NPPS at the time that they are carrying out a procurement.
• the NPPS can be withdrawn, amended or replaced so it is important to consider the latest version.
• the statutory duty "to have regard to":
  • means that a contracting authority must consider whether the procurement they are undertaking can achieve one or more of the policy objectives stated in the NPPS in a manner that is appropriate, proportionate and relevant, and take steps to address this where possible. This may include changing the way the procurement is structured or carried out, the requirements set out in the specification, or the award criteria specified.
  • is not an absolute obligation to incorporate such national priorities as there may be cases where they are irrelevant or disproportionate.
• contracting authorities should:
  • document their rationale for including national priorities or their reasons as to why they are irrelevant or inappropriate;
  • note that the national priorities in the NPPS are separate to the objectives set out in the Act and care should be taken to ensure that the national priorities and their incorporation into any procurement exercise do not conflict with the objectives set out in the Act [3].
• a breach of the statutory duty to have regard to the NPPS is not actionable under the Act, or subject to recommendations being issued following a procurement investigation under the Act. However, a contracting authority can be held to account for non-compliance through judicial review and systematic breaches of the duty could be grounds for guidance to be issued to contracting authorities following a procurement investigation under the Act.