In 2014 the EU enacted a new Public Contracts Directive (2014/24/EU). These EU rules reinforce the value for money focus of the Government’s procurement policy and in most cases require competition. The vfm requires ‘the best mix of quality and effectiveness for the least outlay over the period of use of the goods or services bought.’ This should be achieved through competition. Contracting authorities are encouraged to break contracts into lots to facilitate the participation of Small and Medium Size enterprises. Poor performance under previous contracts is permitted as a ground for exclusion. The full life cycle costing can be taken into account when awarding contracts. The principles of non-discrimination, equal treatment, transparency, mutual recognition and proportionality apply.
Directive-2014-24 EU of the European Parliament and of the Council
