What Are Public Sector Tenders?

Definition Of A Public Sector Tender

A public sector tender is an official request for goods, services, or works issued by a publicly funded body. It's a formal process where the public entity (e.g. HMRC, DWP or a Council, NHS Trust, Housing Association or School, for example) seeks competitive bids from potential suppliers.

A public sector supplier may say how they are 'working on a large public sector tender'. By this, they mean they are responding to the tender opportunity, in order to try and win the contract with a public sector organisation.

These tenders are typically advertised through official channels, such as government websites or specialised portals. They outline specific requirements, timeframes, and evaluation criteria for potential bidders.

Public sector tenders can cover a wide range of needs, including:

• Construction projects
• IT services
• Healthcare equipment
• Consulting services
• Office supplies

When you participate in a public tender, you're entering a competitive process. Your bid will be evaluated against others based on factors like:

• Price
• Quality
• Social value
• Technical capability
• Past performance

The goal of public tenders and there formality is to ensure transparency, fairness, and value for money in government procurement. They help prevent favouritism and promote open competition among suppliers.

Public tenders are subject to strict regulations and guidelines. These rules aim to maintain integrity in the procurement process and ensure equal opportunities for all potential suppliers.

Public Sector Tendering Experts

At Thornton & Lowe, we support our clients to bid for over 500 public sector contracts each year! With over a 75% win rate and a client retention rate in excess of 90%.

Our aim is simple - to help businesses win public sector tenders, whether this is through our expert bid writing services or training services.

Get in touch with us today to find out how your business can benefit from public sector tenders and government contracts.

Key Characteristics Of Public Sector Tenders

Public sector tenders have distinct features that set them apart from private sector procurement. These tenders typically involve high value contracts and significant public spending.

Transparency is a crucial aspect. Public sector organisations must provide essential information to potential suppliers, ensuring a fair chance for all bidders.

Strict regulations govern the tendering process. Contracts above certain thresholds must be advertised on specific platforms, such as Find a Tender Service in the UK.

Fairness and equal treatment of all bidders are paramount. The process aims to prevent discrimination and promote healthy competition.

Public sector tenders often require detailed documentation. You'll need to provide comprehensive information about your company, products, or services.

Value for money is a key consideration. Public bodies must demonstrate they're spending taxpayers' money wisely.

Social value is increasingly important. Many tenders now include criteria related to environmental sustainability or community benefits.

Contract opportunities can cover a wide range of goods and services. These may include healthcare, education, infrastructure, and more.

Timelines for public sector tenders can be longer than private sector processes. This allows for thorough evaluation and compliance with regulations.

The Public Sector Tendering Process

Public sector tendering follows a structured process to ensure fairness and transparency. It involves several key stages from the initial contract notice to the final award decision.

Stages Of The Tendering Process

The tendering process typically begins with a contract notice or tender advert. This notice outlines the requirements and invites interested suppliers to participate.

Next, the contracting authority (public sector organisation) issues an Invitation to Tender (ITT) to suppliers. The ITT provides detailed specifications and evaluation criteria. This may include a selection questionnaire (SQ) or pre-qualification questionnaire (PQQ) prior or as part of the single ITT stage.

Suppliers then need to submit their bids, carefully addressing all requirements. The public body evaluates these bids against predetermined criteria.

Finally, the contract is awarded to the winning bidder. This decision is based on factors such as price, quality, and value for money which are all made very clear as part of the tender pack.

Throughout the process, strict deadlines and compliance requirements must be met to ensure a fair competition.

Invitation To Tender

The Invitation to Tender (ITT) is a crucial document in the procurement process. It provides potential suppliers with:

• Detailed project specifications
• Evaluation criteria
• Submission guidelines
• Contractual terms and conditions

Public bodies should ensure ITTs are clear and easily to follow. They are complex sets of documents and often include:

• A clear scope of work
• Technical requirements
• Pricing schedules
• Timelines for delivery

Suppliers must thoroughly review the ITT to understand the buyer's needs and expectations. This helps in preparing a competitive and compliant bid.

Bid Submission

When submitting your bid, attention to detail is crucial. You must:

• Address all requirements outlined in the ITT
• Provide clear and concise responses
• Include all requested documentation
• Meet the submission deadline

Consider these tips for a strong bid:

• Tailor your proposal to the specific tender - it's can't be generic!
• Highlight your unique selling points
• Demonstrate value for money
• Provide evidence of past performance

Many public sector tenders now use electronic submission systems. Familiarise yourself with the platform well before the deadline to avoid last-minute technical issues.

Bid Evaluation

Once bids are submitted, the evaluation process begins. Public bodies use a predetermined scoring system to assess each proposal fairly.

Evaluators will use a weighted scoring method, where different criteria carry varying importance. They might also conduct clarification interviews or request additional information from bidders.

The evaluation process is designed to identify the Most Economically Advantageous Tender (MEAT). This doesn't always mean the lowest price, but the best overall value for money.

Contract Award

After evaluation, the contracting authority selects the winning bid. They will:

1. Notify the successful bidder
2. Inform unsuccessful bidders
3. Observe a standstill period (typically 10 days)
4. Publish a contract award notice

During the standstill period, unsuccessful bidders can request feedback on their bids. This can provide valuable insights for future tenders.

Once the standstill period ends, the contract is formally awarded. Both parties then work towards finalising the agreement and beginning the project.

Legal Requirements and Regulations

Public sector tenders in the UK are subject to strict legal requirements and regulations. You must adhere to these rules when participating in or managing procurement processes.

The Public Contracts Regulations 2015 (PCRs) govern most public sector procurements. These regulations ensure fair competition and transparency in the tendering process.

The Procurement Act will introduce changes to these regulations. From 24 February 2025, new rules will aim to make public procurement more accessible and efficient for suppliers.

Challenges In Public Sector Tendering

Public sector tendering presents several significant hurdles for businesses. You'll encounter complex procedures, extended timelines, and strict criteria that can make the process daunting if you are new to tendering.

Complex Procedures And Documentation

Responding to public sector tenders involves dealing with intricate processes and extensive paperwork. It is rarely a quick win for business growth, but a strategic pursuit and commitment. You'll need to familiarise yourself with specific terminology and comply with numerous regulations.

Errors or omissions in your submission can lead to immediate rejection, regardless of the quality of your offer. To succeed, you'll need to allocate significant time and resources to understand and meet all procedural demands.

Lengthy Timelines

Public sector tenders typically involve extended timelines that can strain your resources. You may face:

• Long waiting periods between stages
• Multiple rounds of clarifications
• Delayed decision-making processes

The procurement cycle can span several months, sometimes even years for large-scale projects. This prolonged process can tie up your bid team and affect your ability to pursue other opportunities.

Strict Eligibility Criteria

Meeting the eligibility criteria for public sector tenders can be a significant challenge. You may encounter:

• Minimum turnover requirements
• Specific accreditations or certifications
• Past performance thresholds
• Mandatory experience in similar projects

These criteria are often non-negotiable and can exclude many potential suppliers, particularly small and medium-sized enterprises (SMEs). You might need to invest in obtaining new certifications or forming consortiums to meet the requirements.

Demonstrating compliance with these criteria requires careful preparation of evidence and documentation. You'll need to showcase your capabilities convincingly while ensuring you meet every stipulated condition.

The majority of our clients our SMEs and we support and advise them to save time and maximise their ROI from public sector tenders!

How To Participate In Public Sector Tenders

Participating in public sector tenders requires careful preparation and attention to detail. You'll need to identify relevant opportunities, create a competitive bid, and demonstrate your expertise to stand out from other suppliers.

Identifying Relevant Public Sector Opportunities

Finding public sector tenders is fairly straightforward, made even easier by Thornton & Lowe’s free tender alert software, Tender Pipeline. Find live tenders, awarded tenders, frameworks. Set up email alerts and bookmarks.

You can also find public sector tenders through:

• Contracts Finder, a service based on the official Gov website for all current UK tenders.
• Find a Tender Service (FTS) for high value tenders.

Framework Agreements, as well as tenders, are also advertised by the public sector. These agreements, which act like approved suppliers lists, are very popular in the UK. In your sector their will be key frameworks which public sector buyers will expect you to be on.

Preparing A Competitive Bid

Start by thoroughly reviewing the tender documents. Create a checklist of all required elements and deadlines to ensure you don't miss anything crucial.

Research the contracting authority's needs and priorities. Tailor your bid to address these specific requirements, highlighting how your solution provides value for money.

Price your bid competitively, but don't undervalue your services. Include a clear breakdown of costs and demonstrate the long-term value you offer.

Proofread your bid carefully and ask a colleague to review it. Simple errors can undermine your credibility.

Understanding The Requirements

Carefully read the tender specifications and evaluation criteria. Highlight key requirements and make sure you address each one in your proposal.

If anything is unclear, don't hesitate to submit clarification questions through the official channels provided. This shows engagement and ensures you fully understand what's expected.

Pay attention to mandatory requirements. Failing to meet even one of these can disqualify your bid, regardless of its overall quality.

Consider creating a compliance matrix to track how your bid addresses each requirement. This can help you identify any gaps in your proposal.

Show Expertise And Experience

Provide concrete examples of similar projects you've successfully completed. Use case studies to illustrate your capabilities and the results you've achieved for other clients.

Include testimonials from satisfied customers, particularly those in the public sector. This builds credibility and demonstrates your track record.

Highlight any relevant certifications, accreditations, or industry awards your company has received. These serve as independent validation of your expertise.

Explain your approach to project management and risk mitigation. This shows you're prepared to handle potential challenges.

Submitting The Bid

Double-check that you've included all required documents and signatures. Missing paperwork is a common reason for bid rejections.

Submit your bid well before the deadline to avoid technical issues or last-minute rushes. Many e-tendering systems will not accept late submissions, regardless of the reason.

Keep a copy of your submitted bid for reference. If you're invited to present or clarify your proposal, you'll want to review what you've submitted.

After submission, prepare for potential follow-up questions or requests for clarification. Respond promptly and professionally to any inquiries from the contracting authority.

Tips For Success In Public Sector Tendering

Carefully review the evaluation criteria for each tender. Focus on meeting the specific standards set by the public sector organisation advertising the contract.

Tailor your bid to address each requirement clearly and concisely. Highlight how your company's capabilities align with the criteria.

Present your information in a well-organised, easy-to-read format. Use bullet points, headings, and short paragraphs to break up text and improve readability.

Keep your language professional and straightforward. Avoid jargon or overly complex terms that might confuse evaluators.

Proofread thoroughly for errors and clarity. A polished, error-free bid demonstrates attention to detail and professionalism.

Research the contracting authority and their needs. Show understanding of their objectives and how your services can meet them effectively.

Emphasise value for money. Public sector organisations look for cost-effective solutions that provide the best overall value.

Highlight relevant experience and past successes. Include case studies or testimonials that demonstrate your ability to deliver similar projects.

Submit your bid well before the deadline. Late submissions are often automatically disqualified, regardless of quality.

Consider partnering with other businesses if necessary. This can strengthen your bid by filling any gaps in expertise or resources.

Frequently Asked Questions

Public sector tenders involve several key processes and considerations. Understanding these elements can help businesses navigate the tendering landscape more effectively.

How does the public tender process function within the public sector?

Public sector organisations publish tender notices detailing their requirements. Interested suppliers submit bids outlining how they meet these needs. The procurement team evaluates submissions based on predefined criteria. They select the most suitable offer, considering factors like value for money and quality.

What steps are involved in winning a public sector contract via tenders?

First, identify relevant opportunities through tender services or government websites. Review the tender documents thoroughly. Prepare a compelling bid that addresses all requirements. Submit your proposal before the deadline. If shortlisted, you may need to attend interviews or provide additional information.

What distinguishes public procurement tenders from private sector bids?

Public sector tenders are more regulated and transparent. They often have stricter evaluation criteria and longer timelines. Private sector bids may be more flexible and relationship-driven. Public tenders typically require more extensive documentation and compliance with specific policies.

Where can I find information on available public sector tenders?

Government websites often list current opportunities. Tender services aggregate notices from various public bodies. Local councils and specific departments may publish tenders on their own platforms. Some platforms require registration to access full tender details.

How can businesses apply for public tender opportunities?

Register on relevant procurement portals. Set up alerts for opportunities matching your services. Download tender documents and study them carefully. Prepare your bid, ensuring you address all requirements. Submit your proposal through the specified channel before the closing date.

Public Sector Tenders: Bid Writing Testimonials

Take a look at our testimonials for helping our clients win public sector tenders.

We have had confirmation from Salford Council that we have been successful with our tender for the Demolition and associated service framework.Thank you for all your good work in preparing our submission it was much appreciated and of course fruitful." - Tim Scopes, P McGuinness & Co Ltd

"Thornton & Lowe have been supporting us since April 2013 and have completed over 30 PQQs and ITTs for us, with and excellent success rate including with Northampton Council, Milton Keynes Council, Dorset Council and the London Borough of Southwark. They have helped develop our policies and processes and provide a valuable service, including face-to-face meetings. They have provided us access to the bespoke Tender Library software, giving us a bid continuity tool that also means our team work efficiently. We would certainly recommend their bid writing and bid management service. " - Paul Moxom, Director, London Hire Ltd

"As we find the bid process very time consuming, we employed Thornton and Lowe to provide bid management and bid writing support. They have been providing us with an excellent service since July 2012, allowing us to ensure that no opportunities were being missed. Not only is the quality of the final written bids and proposals are of a consistently high quality, they have also provided some excellent designed proposals and template documents. They provide a real personal touch and with their input we have seen a significant increase in our success rate, recently securing work with housing associations, universities and NHS Trusts. " - Sarah Rudd, Northern Insulation Contractors