British suppliers to be prioritised for contracts in sectors vital to national security
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The British government is prioritizing domestic suppliers for public contracts in sectors deemed vital to national security: shipbuilding, steel, AI, and energy infrastructure. Departments must now justify sourcing steel from overseas and assess whether outsourced contracts over £1 million could be more effectively delivered in-house via a Public Interest Test. This policy, expedited due to global supply chain fragility, aims to support British jobs, protect national security, and grow the economy, aligning with the National Security Strategy. Larger departments will publish "insourcing" strategies, and contractors will be encouraged to demonstrate community impact through job creation and apprenticeships. The new rules utilize national security exemptions within existing WTO agreements and include new AI tools to streamline the commercial process.
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AI-ExtractedLarger departments spending more than £100m a year will also have to publish an “insourcing” strategy.
These reforms are about using the full weight of government spending to support British jobs, protect our national security and grow our economy.
A Public Interest Test will oblige departments to assess whether outsourced service contracts over £1m could be delivered more effectively in-house.
Departments will have to either use British steel or justify sourcing it from overseas.
British suppliers will be prioritised for public contracts in shipbuilding, steel, AI and energy infrastructure.
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