Understanding the Public Services Industy

Public Services Industry Review
Some of the other recommendations are listed below
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OGC should continue to emphasise that value for money does not necessarily equate
to least cost
Departments should increase uptake of training on sustainable procurement
Wood Review: Investigating UK business experiences of competing for public contracts
in other EU countries: Alan Wood supported by the Office of Government Commerce:
November 2004
This report reviews the experiences of UK based firms in competing for public contracts in
other EU countries, including concerns about unfair discrimination and different approaches
to the application of Single Market procurement rules.
Main Recommendations:
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The European Commission should actively promote best practice in public
procurement by member States, not only by monitoring compliance with the directives
but also by encouraging the adoption of best practice structures, tools and techniques.
To build a more competitive EU public procurement market, the Commission should
work with Member States to identify, evaluate and benchmark the structures, tools
& techniques which contribute most effectively to this outcome; and should use a
scorecard approach, where appropriate, to raise Member States performance
The European Commission and Member States should use competition policy tools to
open markets in sectors relevant to public documents
Member States should comply with new energy liberalisation directives
Other member States should agree market-opening in the field of public transport services
Member States should make a concerted effort at EU level to agree market-opening in
defence procurement, subject to Article 296 of the Treaty
The European Commission should apply tighter controls to large-value state aid which
is more likely to distort competition in markets; and Member States should re-orient
their State aid to measures which apply to firms in all sectors (e.g. support for research
and development, or environmental protection)
Member States should remove barriers in services, principally through negotiating
agreement to and implementation of an acceptable Services Directive
All Member States should eliminate systemic failings in practice, including unfair
national preference
All Member States should use tools and techniques which make purchasing quicker
and more cost-effective (such as e-tendering and framework agreements)
All Member States should develop their participation in Best Practice forums, such as
the Public Procurement Network, to develop and share good practice and to identify
bad practice
OGC should press ahead with implementation of the Kelly Report Action Plan
to increase competition and improve long-term capacity planning for UK public
procurement across all key markets, as a complementary initiative to this Review
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