Institution of Civil Engineers

Suite 2 Bay Chambers

West Bute Street

Cardiff Bay CF10 5BB

Sefydliad y Peirianwyr Sifil

2 Siamberi Bae

Gorllewin Stryd Bute

Bae Caerdydd CF10 5BB

t/ffon  +44 (0) 29 2063 0561

f/ffacs +44 (0) 29 2063 0666

e/ebost xxxx.xxxx@ice.org.uk

ice.org.uk

ref KJ

28^th September 2011

Comments on the European Commission proposals for the reform of public procurement legislation

Evidence and comments:

1. How effectively are the current UK procurement Regulations working in Wales, both from a supplier/contractor and from a purchasing authority perspective?

There are concerns amongst the construction sector that the current UK procurement Regulations are not working in Wales. Traditionally we have a range of companies ranging from SMEs to larger multi million pound turnover construction companies. However, it is increasingly difficult for Welsh companies to win work in Wales. In this current difficult financial climate, larger companies from outside Wales are winning work to the detriment of the local economy. This is not sustainable in its fullest meaning. Local work for locals using local supply chains leaving a local legacy. With the tendency for large framework contractors this is growing as a problem. Clients operating UK wide or England and Wales wide businesses / organisations (e.g. EA) can build tender lists that are south east England centric and this can result in ‘fly in’ companies with no local benefit.

2. To what extent is value for money being achieved for purchasing authorities?

Using large or very large companies does not necessarily mean better value for purchasing authorities, very often local SMEs can provide great value for money and with a possible tendency for one large company, I have grave concerns about the construction sector

3. How should the EU procurement Directives be modernised from the perspectives of Welsh suppliers/contractors and purchasing authorities?

By taking into account the benefits to the local economy of using local companies, locally sourced materials and labour and local legacies – jobs, apprentiships etc. Sustainability in its true meaning.

Keith Jones, Director ICE Wales Cymru, 28^th September 2011

Notes for information:

• The Institution of Civil Engineers (ICE) was founded in 1818 to ensure professionalism in civil engineering.
• It represents 80,000 qualified and student civil engineers in the UK and across the globe and has over 4200 members in Wales.
• ICE has long worked with the government of the day to help it to achieve its objectives, and has worked with industry to ensure that construction and civil engineering remain major contributors to the UK economy and UK exports.