Scottish Government procurement: annual report 2024 to 2025

4. Contracting Activity and How our Procurement Activity Contributes to Value for Money

4.1 Introduction

This section summarises our regulated procurement activity, associated spend and savings, and the forward pipeline of procurements expected over the next two financial years.

4.2 Summary of Scottish Government^[5] Regulated Procurements (April 2024 - March 2025)

Key Figures (2024-2025)

• During the reporting period, we managed 564 live regulated contracts with a combined lifetime value of £9.5 billion.
• We awarded 138 new regulated contracts under the Procurement Reform (Scotland) Act 2014 with a total value of more than £493 million.
• Across all types of contracting activity, our regulated procurements contributed to savings of over £168 million.

These regulated procurements span a broad range of categories, from research and policy-support services to digital solutions, facilities management, social programmes, professional services and operational delivery. Each procurement was designed and delivered in line with our statutory obligations, organisational standards and strategic objectives, ensuring that value for money, quality, sustainability and Fair Work remained central to every award.

Our approach emphasised early engagement with directorates to develop clear specifications, proportionate evaluation criteria and effective risk management plans. This supported well-managed competitions, improved supplier understanding, and enabled strong participation from a diverse supplier base, including SMEs and third-sector organisations.

Collectively, the regulated procurements awarded and managed during 2024–2025 provided the Scottish Government with essential capability, specialist expertise and reliable delivery partners. They continue to underpin priority programmes and ensure the organisation is equipped to respond to evolving policy, operational and external pressures.

4.3 Summary of Scottish Government Procurement Spend and Savings in 2024-2025

This section provides an overview of Scottish Government procurement spend and the savings delivered during the reporting period. The figures reflect spend through both core Scottish Government activity and the wider use of our national collaborative frameworks, which continue to support efficient and consistent procurement across the public sector. The data also highlights the contribution that our contracts and frameworks make to achieving value for money, strengthening commercial outcomes, and supporting delivery of government priorities.

Key Figures (2024-2025)

• Combined spend during the reporting year, covering Scottish Government expenditure and spend through collaborative frameworks by other public bodies, totalled over £1.7 billion, generating savings of over £168 million.
• Core Scottish Government spend with suppliers during the period was £489 million.

These results demonstrate the continued importance of collaborative procurement as a mechanism for achieving value for money on a national scale. Our frameworks provide a simple, efficient and competitive route for public bodies to access commonly purchased goods and services while benefiting from enhanced buying power, stable pricing and assured quality.

The proportion of core spend routed through Scottish-based suppliers and SMEs also remains a key indicator of procurement’s contribution to economic resilience, supply chain diversity and local growth. These measures continue to support Scotland’s wider ambitions for a wellbeing economy, fairer work practices and inclusive prosperity.

Across procurement categories, savings were achieved through competitive tendering, effective commercial negotiation, improved demand management, and continuous refinement of our contracting strategies. Our focus on whole-life costing, rather than upfront price alone, ensures that savings represent true long-term value, aligned to quality, sustainability and policy priorities.

Looking ahead, we will continue to work with directorates and public bodies to strengthen our approach to spend analysis, benefits tracking and value-for-money measurement. This will support more detailed reporting, improved decision-making, and greater transparency across the procurement landscape.

4.4 Summary of Regulated Procurements in the Next Two Financial Years

In line with the requirements of the Procurement Reform (Scotland) Act 2014, this section provides an overview of the regulated procurements that the Scottish Government expects to begin over the next two financial years. This forward look enhances transparency, supports early supplier awareness and enables both existing and potential suppliers to plan effectively for upcoming opportunities.

The projected programme reflects current planning assumptions across Scottish Government directorates and may be subject to refinement as policy priorities, operational needs and budget allocations evolve. Nonetheless, it provides stakeholders with a clear indication of the scale and diversity of future procurement activity.

Across the forthcoming two financial years, we anticipate commencing around 100 regulated procurements across the full breadth of our contracting scope. Collectively, these planned procurements represent an estimated value of £1.2 billion, covering a wide range of goods, services and works essential to the delivery of government policy and corporate priorities.

We expect to award:

• approximately 76 contracts for the sole use of the Scottish Government, with a projected combined value of over £87 million
• and to continue supporting the wider public sector through upcoming national collaborative contracts and frameworks, which will remain available to public bodies across Scotland once awarded.

These forward-planned procurements include new requirements emerging from policy development, re-lets of existing contracts nearing the end of their term, and opportunities designed to strengthen digital capability, professional services, research, and operational delivery across government. This pipeline also supports ongoing commitments related to sustainability, Fair Work, innovation and the Programme for Government.

A full, detailed list of regulated procurements expected to commence within the next two financial years is provided in Annex A, including anticipated values, timelines and whether each requirement is new or a re-procurement of an existing contract. This information aims to help suppliers prepare in advance, understand future market opportunities and engage effectively in upcoming competitions.

Together, this planned activity demonstrates the scale and continuity of Scottish Government procurement and highlights our commitment to transparency, strategic planning and early engagement with the marketplace.