Motion on Amendments 2 and 3

Procurement Bill [HL] - Commons Amendments – in the House of Lords at 6:23 pm on 11 September 2023.

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Baroness Neville-Rolfe:

Moved by Baroness Neville-Rolfe

That the House do agree with the Commons in their Amendments 2 and 3.

2: Clause 2, page 2, line 16, leave out “subsection” and insert “subsections (8A) and”

3: Clause 2, page 3, line 12, at end insert—“(8A) In this Act, a reference to a public authority includes a reference to theCommon Council of the City of London.”

Photo of Baroness Neville-Rolfe Baroness Neville-Rolfe Minister of State (Cabinet Office)

My Lords, in moving this Motion I will speak to the other amendments in the group.

Amendments 2, 3 and 99 ensure that the City of London is appropriately regulated by the Bill and that its private sector activities are not inappropriately captured.

Amendments 6 to 12 deal variously with abnormally low and unsuitable tenders, and the definition of disabled and disadvantaged people in contracts specifically directed to help them.

Amendment 10, which I know is of interest to the noble Lord, Lord Fox, who I thank for his co-operation on this large number of amendments, requires that any procedural breach that results in a tender being unsuitable must be material. This tightens the circumstances in which a switch to direct award can be made. The transparency notice will ensure that any awards under Clause 43 are publicised, and, if the provision is abused, there will be opportunity for suppliers to bring a challenge and for the procurement review unit to investigate.

Amendments 13 to 22, 48 to 56, and 61 to 64 deal with the publishing of KPIs, tendering timescales for utilities and non-central government contracting authorities, standards and accreditation, electronic communications, e-invoicing and payment compliance, and contract change notices.

Amendment 60 and the consequential amendments—Amendments 76, 85, 88, 90, 91 and 92—introduce an enabling power which gives the UK the ability to take retaliatory action as a result of a procurement-related dispute with a country with which we have a free trade agreement on procurement.

Amendments 65 and 66 strengthen the record-keeping obligations with the Bill, to reflect obligations under our international agreements.

Amendments 83, 87 and 89 relate to financial thresholds, ensuring that, where thresholds for the publication of KPIs need to be changed, the affirmative procedure will apply.

Amendments 95 and 96 clarify the reasonableness test in Schedule 2, following feedback from the Local Government Association.

Amendment 104 extends the new power that the Bill will insert into the Defence Reform Act by allowing regulations to ensure that, under specified circumstances, certain existing contracts, when amended, can be treated as new contracts and brought within the scope of the single-source regime. Amendment 104 relates to single-source defence contracts entered into after the Act came into force but which were below the regime threshold and are subsequently amended to a contract value above that threshold.

Amendments 23, 24, 26 to 28, 30, 32, 35, 36, 39, 43, 44 to 46, 68, 72, 73, 75, 84 and 103 strengthen and ensure that the debarment and exclusion regimes in the Bill function as intended by inserting a substantive debarment appeals regime to replace the enabling power. Noble Lords will remember that, in this House, we thought it was better to have that in the Bill rather than in regulations.

Finally, the Government introduced Amendments 58, 59, 69, 70, 71, 74, 77 to 80, 86 and 93 in the other place at the request of the devolved Administrations. These amend how the legislation applies in relation to devolved procurement in Wales or Scotland and ensure that the regime runs effectively. They reflect constructive discussions.

I apologise for the number of amendments but we have sent out a letter explaining exactly what these all entail. I beg to move.

Photo of Lord Fox Lord Fox Liberal Democrat Lords Spokesperson (Business)

My Lords, when the noble Lord, Lord Lansley, was being uncharacteristically acerbic, he mentioned the number of amendments to which this legislation has been subjected. I believe that the Deputy Speaker was present in the Grand Committee when we were wading through some of the 450 or so amendments that were laid before us. It is therefore quite appropriate that, as we wave goodbye—probably—to this legislation from this House, your Lordships are confronted with another 85 amendments. However, in this particular case they have been well explained—for which I thank the Minister—and are non-controversial. In that respect, we can leave in perhaps a slightly less acerbic way than we arrived.

I expect His Majesty’s loyal Opposition to press the Amendment of the noble Baroness, Lady Hayman. We on these Benches will support that, in the event that she so does.

Photo of Lord Aberdare Lord Aberdare Crossbench 6:30, 11 September 2023

My Lords, I played a very small part in the Committee stage of this Bill, mostly seeking to protect and promote the interests of small and medium-sized enterprises, and I welcome its provisions in that regard.

I take this opportunity to welcome Amendments 8 and 9 from the Commons and to thank the Minister, her colleagues and her officials for getting them included in the Bill. The Bill as it originally stood had the unintended effect of reducing the scope of existing provision for reserving certain contracts for supported employment providers. These amendments ensure that no such reduction will occur. I am most grateful to the Minister for listening to the concerns raised by Aspire Community Works—itself a supported employment provider—to address and, indeed, resolve this issue.

Amendments 2 and 3 agreed.

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As a bill passes through Parliament, MPs and peers may suggest amendments - or changes - which they believe will improve the quality of the legislation.

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