The Procurement Act 2023 (Specified International Agreements and Saving Provision) (Amendment) Regulations 2025
These Regulations amend the Procurement Act 2023 to incorporate the procurement obligations stemming from two international agreements: the Strategic Partnership and Cooperation Agreement with Kazakhstan and the Partnership and Cooperation Agreement with Iraq.
The amendments specify these treaties as 'specified international agreements' under Schedule 9 of the 2023 Act, granting treaty state suppliers reciprocal treatment under certain conditions, excluding procurements regulated by the Welsh Ministers.
Furthermore, the instrument modifies the 2024 Commencement and Saving Provisions Regulations to ensure consistency, allowing the procurement chapters of these new agreements to apply to procurements still governed by the retained 2015 and 2016 procurement legislation, with transitional rules protecting procurements already underway.
Arguments For
Incorporates obligations arising from newly ratified international trade and cooperation agreements (UK-Kazakhstan SPCA and UK-Iraq PCA) into domestic procurement law, ensuring compliance with international commitments.
Provides parity for suppliers from Kazakhstan and Iraq by granting them equivalent treatment to UK suppliers under specified UK procurement regimes (2015 and 2016 Regulations) for associated contracts (framework agreements, DPS, qualification systems) where those regimes still apply.
Clarifies which procurements remain subject to the previous regulatory framework (2015/2016 Regulations) via transitional provisions, maintaining legal certainty for ongoing procurements commenced before the relevant agreements enter into force.
Establishes specific interpretive clauses regarding procuring bodies under the Welsh Ministers' jurisdiction, ensuring that devolved Welsh procurement arrangements are correctly excluded or included in the scope of the new international provisions.
Arguments Against
Introduces complexities by maintaining parallel application of both the new Procurement Act 2023 rules and the transitional application of the older 2015 and 2016 Regulations, potentially increasing administrative burden during the transition period.
The application of the new international provisions to legacy contracts is staggered based on the entry into force dates of specific chapters in the international agreements, creating varying timelines dependent on the agreement (e.g., 5 or 8 years for Kazakhstan Chapter 8), which complicates forward planning.
The necessity of amending commencement and saving regulations (the 2024 Regulations) indicates a cascading series of regulatory updates needed to manage the transition from older procurement rules (2015/2016) to the new Procurement Act 2023 framework.
Although a full impact assessment was deemed unnecessary, any regulatory change involving international agreements and existing procurement protocols inherently introduces new compliance considerations for contracting authorities.
The Minister for the Cabinet Office makes these Regulations in exercise of the powers conferred by sections 89(3)(a), 122(3)(b), (c) and (d) and 127(2) of the Procurement Act 2023 (“the 2023 Act”)
These Regulations are made with the consent of the Welsh Ministers in accordance with section 127(3) of the 2023 Act.
In accordance with section 122(4)(k) of the 2023 Act, a draft of this instrument has been laid before Parliament and approved by a resolution of each House of Parliament.
The Minister for the Cabinet Office created these Regulations using powers granted under the Procurement Act 2023.
The Welsh Ministers consented to these Regulations being made, as required by the Act.
Parliament approved the draft instrument via a resolution by both the House of Commons and the House of Lords before it was officially enacted.
Citation, commencement and extent
(1) These Regulations may be cited as the Procurement Act 2023 (Specified International Agreements and Saving Provision) (Amendment) Regulations 2025.
(2) These Regulations come into force on 30th December 2025.
(3) The amendments made by these Regulations extend to England and Wales, Scotland and Northern Ireland.
The official title of these statutory rules is set out.
The Regulations officially become active on December 30th, 2025.
The amendments detailed within these rules apply across the entire United Kingdom, encompassing England, Wales, Scotland, and Northern Ireland.
Amendment of the Procurement Act 2023
(1) Schedule 9 to the Procurement Act 2023 (treaty state suppliers (specified international agreements)) is amended as follows.
(2) Before paragraph 1 insert—
“Interpretation
B1. For the purposes of this Schedule a procurement is “a procurement regulated by the Welsh Ministers” if—
(a) the contracting authority concerned is a devolved Welsh authority, unless it is a procurement under a reserved procurement arrangement or a transferred Northern Ireland procurement arrangement, or
(b) it is a procurement under a devolved Welsh procurement arrangement.”
The Agreements”;
(3) At the end insert—
“26. In any case other than a procurement regulated by the Welsh Ministers, the Strategic Partnership and Cooperation Agreement between the United Kingdom of Great Britain and Northern Ireland and the Republic of Kazakhstan signed at Astana on 24 April 2024.
- In any case other than a procurement regulated by the Welsh Ministers, the Agreement on Partnership and Cooperation between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the Republic of Iraq signed at London on 14 January 2025.”.
The document modifies Schedule 9 of the Procurement Act 2023, which deals with suppliers from treaty states under specified international agreements.
New interpretive text defines what constitutes 'a procurement regulated by the Welsh Ministers.' This excludes procurements handled by devolved Welsh authorities unless they fall under specific reserved or transferred arrangements, or if they are under a devolved Welsh arrangement.
Two new international agreements are added to the list of specified agreements: the UK-Kazakhstan Strategic Partnership and Cooperation Agreement and the UK-Iraq Partnership and Cooperation Agreement.
These additions apply provided the procurement is not one regulated by the Welsh Ministers.
Amendment of the Procurement Act 2023 (Commencement No. 3 and Transitional and Saving Provisions) Regulations 2024
(1) The Procurement Act 2023 (Commencement No. 3 and Transitional and Saving Provisions) Regulations 2024 (“the 2024 Regulations”) are amended as follows.
(2) In regulation 5 (saving provisions relating to the 2015 Regulations)—
(a) in paragraph (1), for “and (c)” substitute “, (c), (d) and (e)”;
(b) after paragraph (4)(c) insert—
“;
(d) in relation to framework agreements, Schedule 4A to the 2015 Regulations (international trade agreements) is to be read as if, at the end was inserted—
“Strategic Partnership and Cooperation Agreement between the United Kingdom of Great Britain and Northern Ireland and the Republic of Kazakhstan signed at Astana on 24th April 2024. Agreement on Partnership and Cooperation between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the Republic of Iraq signed at London on 14th January 2025.”;
(e) in relation to dynamic purchasing systems, Schedule 4A to the 2015 Regulations is to be read as if, at the end was inserted—
“Agreement on Partnership and Cooperation between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the Republic of Iraq signed at London on 14th January 2025.”
(3) In regulation 8 (saving provisions relating to the 2016 UC Regulations)—
(a) in paragraph (1), after “apply” insert “, as modified by paragraph 4(b), (c), (d) and (e),”;
(b) after paragraph (4)(c) insert—
“;
(d) in relation to framework agreements, Schedule 3 to the 2016 UC Regulations (international trade agreements) is to be read as if, at the end was inserted—
“Strategic Partnership and Cooperation Agreement between the United Kingdom of Great Britain and Northern Ireland and the Republic of Kazakhstan signed at Astana on 24th April 2024. Agreement on Partnership and Cooperation between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the Republic of Iraq signed at London on 14th January 2025.”;
(e) in relation to dynamic purchasing systems and qualification systems, Schedule 3 to the 2016 UC Regulations is to be read as if, at the end was inserted—
“Agreement on Partnership and Cooperation between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the Republic of Iraq signed at London on 14th January 2025.”
These rules amend the 2024 Regulations, which manage the transition to the 2023 Act, specifically regarding provisions saved from older laws.
Regulation 5 amendments relate to the Public Contracts Regulations 2015.
Schedule 4A of the 2015 Regulations, which covers international trade agreements, is modified to include the Kazakhstan and Iraq agreements for framework agreements and dynamic purchasing systems.
Regulation 8 amendments concern the Utilities Contracts Regulations 2016.
Schedule 3 of the 2016 Regulations is similarly modified to include the Kazakhstan and Iraq agreements for framework agreements, dynamic purchasing systems, and qualification systems.
Transitional provisions
(1) In this Regulation—
“the 2015 Regulations” means the Public Contracts Regulations 2015;
“the 2016 Regulations” means the Utilities Contracts Regulations 2016;
“the 2023 Act” means the Procurement Act 2023;
“relevant agreement” means, as the case may be, the UK-Iraq PCA or the UK-Kazakhstan SPCA;
“the UK-Iraq PCA” means the Agreement on Partnership and Cooperation between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the Republic of Iraq signed at London on 14th January 2025;
“the UK-Kazakhstan SPCA” means the Strategic Partnership and Cooperation Agreement between the United Kingdom of Great Britain and Northern Ireland and the Republic of Kazakhstan signed at Astana on 24th April 2024.
(2) A reference to the relevant agreement entering into force, means, in respect of—
(a) the UK-Kazakhstan SPCA, when Chapter 8 (Government Procurement) of Title III (Trade and Business) starts to apply in accordance with article 136, or
(b) the UK-Iraq PCA, when that agreement enters into force in accordance with article 115.
(3) Terms used in this regulation have the same meaning as in the 2015 Regulations and the 2016 Regulations as they had effect immediately before 24th February 2025.
(4) The amendments made by regulation 2 do not affect any procurement commenced before the day on which the relevant agreement enters into force if before that day—
(a) a tender notice has been published in accordance with section 21(1) of the 2023 Act (tender notices and associated tender documents),
(b) a transparency notice has been published in accordance with section 44(1) of that Act (transparency notices),
(c) a below-threshold tender notice has been published in accordance with section 87(1) of that Act (regulated below-threshold contracts: notices),
(d) a contracting authority has invited the submission of tenders in relation to a regulated below-threshold contract (see section 85(1) of that Act (regulated below-threshold contracts: procedure)), or
(e) in respect of a below-threshold contract to which neither (c) or (d) applies, a contracting authority has contacted a supplier in order to commence the award of that contract.
(5) The amendments made by regulation 3(2)—
(a) do not affect any procurement commenced before the day on which the relevant agreement enters into force if before that day—
(i) a contracting authority has submitted a contract notice required by regulation 26(8) of the 2015 Regulations (choice of procedures) in accordance with regulation 51 of those Regulations (publication on the UK e-notification service) for the award of a contract under a dynamic purchasing system, or
(ii) a contracting authority has contacted an economic operator in order to commence the award of a contract based on a framework agreement (see regulation 33 of those Regulations (framework agreements));
(b) apply to the evaluation of an economic operator’s request to participate in a dynamic purchasing system in accordance with regulation 34(15) to (20) of the 2015 Regulations (dynamic purchasing systems) only where that request is made on or after the day on which the relevant agreement enters into force.
(6) The amendments made by regulation 3(3)—
(a) do not affect any procurement commenced before the day on which the relevant agreement enters into force if before that day—
(i) a utility has submitted a notice on the existence of a qualification system required by regulation 44(4)(b) of the 2016 Regulations (choice of procedures) in accordance with regulation 71 of those Regulations (publication on the UK e-notification service) for the award of a contract under a qualification system,
(ii) a utility has submitted a contract notice required by regulation 44(4)(c) of the 2016 Regulations in accordance with regulation 71 of those Regulations for the award of a contract under a dynamic purchasing system, or
(iii) a utility has contacted an economic operator in order to commence the award of a contract based on a framework agreement (see regulation 51 of those Regulations (framework agreements));
(b) apply to the evaluation of an economic operator’s request—
(i) to participate in a dynamic purchasing system in accordance with regulation 52(15) to (20) of the 2016 Regulations (dynamic purchasing systems), and
(ii) for qualification to a system in accordance with regulation 77 of those Regulations (qualification systems),
only where that request is made on or after the day on which the relevant agreement enters into force.
This section defines key terms used throughout the transitional provisions, including references to the 2015 and 2016 Regulations, the 2023 Act, and specifying the exact entry points for the UK-Iraq PCA and the UK-Kazakhstan SPCA.
For the Kazakhstan agreement, entry into force relates specifically to when Chapter 8 (Government Procurement) becomes applicable.
For the Iraq agreement, it relates to the agreement's general entry into force date.
Amendments made by regulation 2 (affecting the 2023 Act rules) do not apply to procurements already started before the relevant international agreement takes effect, provided certain pre-commencement notice requirements under the 2023 Act (tender notice, transparency notice, below-threshold notices, or initial contact) have been met.
The amendments to the 2015 Regulations (regulation 3(2)) are transitional, sparing old procurements commenced before the agreement starts, provided notices or initial contacts relating to framework agreements or dynamic purchasing systems were already issued.
These 2015 amendments only apply to requests for participation in dynamic purchasing systems made on or after the relevant agreement enters into force.
The amendments to the 2016 Regulations (regulation 3(3)) similarly protect procurements under that regime commenced before the agreement enters force, provided certain notices or contacts were already made regarding qualification systems, dynamic purchasing systems, or framework agreements.
These 2016 amendments only apply to requests for qualification or participation in systems where the request is made on or after the relevant agreement enters into force.