Oral Answers to Questions

Debate between Georgia Gould and Ben Coleman

Thursday 24th April 2025 Commons Chamber

[Ben Coleman (Chelsea and Fulham) (Lab)]

7. What steps he is taking with Cabinet colleagues to assist local authorities in using public procurement to help create economic growth.

[The Parliamentary Secretary, Cabinet Office (Georgia Gould)]

I welcome the House’s continuing passion for procurement, and my hon. Friend has helped to lead the way in this area at Hammersmith and Fulham council. I have seen how much energy there is in local government to use procurement to deliver jobs and growth. The Government are working on plans to allow local authorities to reserve contracts for local employers. Public procurement can be a key tool in driving growth and supporting businesses across the economy. Our new national procurement policy statement looks to maximise spend with small businesses and asks contracting authorities to work collaboratively on local and regional growth plans.

[Ben Coleman]

I thank the Minister for her reply and for the excellent work she has done in putting together the procurement strategy. It has been a passion of mine for many years that we do not use procurement just to get extra social value but extra economic value, which will help local firms and local growth. That is what this statement does, and I hugely welcome it. May I ask the Minister whether she intends to issue guidance to local authorities so that they know how best they can achieve economic value? For example, they could proactively tell small firms what contracts are coming up or train them in how to tender, which is very difficult for them. They could also encourage small firms to break procurement into lots, so that they have a better chance of bidding. Finally, they could stop requiring an unreasonable number of years of accounts to be shown before small firms are permitted to bid.

[Georgia Gould]

Growth is the No. 1 mission for this Government. We have learned from local authorities such as Hammersmith and Fulham, which built economic value into procurement. The Procurement Act 2023 makes new tools available, but what is critical is how they are used to deliver innovation and growth. The Government will be consulting on new plans to set targets for small and medium-sized enterprise use for the wider public sector. We have delivered extensive training and developed new communities of practice to help make the most of this huge opportunity. As my hon. Friend has said, much of this is about culture and the use of the tools. We will be working with local authorities around the country to deliver on this enormous opportunity.

Oral Answers to Questions

Debate between Georgia Gould and Ben Coleman

Thursday 25th July 2024 Commons Chamber

[Ben Coleman (Chelsea and Fulham) (Lab)]

22. What recent estimate he has made of the cost to the public purse of fraud in public procurement during the covid-19 pandemic.

[The Parliamentary Secretary, Cabinet Office (Georgia Gould)]

As the Chancellor of the Duchy of Lancaster set out, the previous Government allowed waste and fraud to spiral out of control. Latest estimates show £10.5 billion of estimated fraud and error in the covid-19 schemes. That waste of taxpayers’ money is unacceptable and the new Government are taking action. This week the Chancellor announced that she will appoint a new covid counter-fraud commissioner. It will use every means possible to recoup public money.

[Georgia Gould]

My hon. Friend is right that the previous Government oversaw VIP lanes that led to millions in waste, and we are still unpicking the impact of that lack of oversight. I have met the Public Sector Fraud Authority to set out my commitment to strengthening the counter-fraud approach across Government. As I have said, the counter-fraud commissioner has been introduced to support their work, and will use every means possible to recoup public money, reporting directly to the Chancellor.

[Ben Coleman]

In my corner of London, concerns have been expressed about a particular supplier being awarded contracts worth more than £25 million for useless PPE, after being put forward by a former Minister in the VIP lane. Could the Minister say more about how the Public Sector Fraud Authority and the Treasury will ensure that every penny that can be returned is returned to the public purse?

[Georgia Gould]

I am happy to meet my hon. Friend to hear more about the individual example from their constituency. As I have said, I have met the Public Sector Fraud Authority. We have set out that tackling fraud is an absolute priority for the Cabinet Office, and we will use every lever available to us to get back what is owed to the British people. The Public Sector Fraud Authority is already working closely with the Treasury on the role of the counter-fraud commissioner, and will continue to do so.