Who’s Buying What? Understanding the New NHS Procurement Landscape

The NHS is the UK’s largest public sector buyer, spending billions annually on goods, services, and innovation. But with procurement processes undergoing rapid transformation—driven by new legislation, digital platforms, increasing demands for transparency, and public procurement reforms—suppliers face a very different environment than even a few years ago. For healthcare suppliers, especially SMEs, understanding these changes isn’t optional: it’s the key to accessing opportunities, staying compliant, and winning NHS contracts.

This guide explores the evolving NHS procurement system, explains what’s changed under the Procurement Act 2023, and shows how suppliers can strategically position themselves for success with the right insights and tools. Effective procurement strategies are now essential for navigating the complexities of public procurement in the healthcare industry.

The New Shape of NHS Procurement

• The introduction of the Procurement Act 2023 (the new procurement act) marks one of the most significant reforms in UK public sector buying. Its overarching purpose is to make procurement more transparent, flexible, and open to innovation, while also ensuring that the billions spent each year by the NHS deliver measurable outcomes for patients and the public. For NHS suppliers, this shift introduces several critical changes that reshape the way contracts are pursued and awarded:

  MAT Scoring Replaces MEAT

  • Contracts are now awarded based on the Most Advantageous Tender (MAT). Unlike the former MEAT procurement approach, which prioritised lowest cost alongside quality, MAT allows buyers to consider a wider set of criteria including sustainability, carbon footprint, workforce diversity, local community benefit, and innovation in service delivery. This provides greater scope for suppliers to highlight differentiators beyond price.

  Digital Platforms at the Centre

  • Systems such as Atamis have become the central hub for tender notices and contract management. Suppliers must be digitally prepared, with the ability to monitor opportunities in real time, submit compliant documentation electronically, and keep pace with increased pipeline visibility.

  Greater Supplier Engagement

  • The Act encourages early market engagement and opens the door for SMEs and niche innovators to contribute solutions. This means more chances for specialist providers to compete with larger incumbents, provided they can demonstrate compliance and unique value. Engaging with procurement teams early in the process is crucial to align proposals with procurement procedures and strategic priorities.

  Heightened Compliance and Accountability

  • The reforms come with stricter requirements around reporting, transparency, and performance. Suppliers must be prepared to provide evidence of delivery against KPIs and demonstrate resilience in governance and operations. Seeking guidance is essential to ensure compliance and avoid potential legal challenges that may arise from non-compliance or ambiguous regulations.

  must be prepared to provide evidence of delivery against KPIs and demonstrate resilience in governance and operations. Seeking guidance is essential to ensure compliance and avoid potential legal challenges that may arise from non-compliance or ambiguous regulations.

For suppliers, the reform therefore creates both challenges—such as meeting new compliance and reporting standards, working closely with the procurement team to ensure compliance, and managing potential legal challenges—and opportunities to stand out by showcasing innovation, sustainability, and measurable value, not just competitive cost.

NHS Procurement Frameworks and Processes Explained

Frameworks: Structure Behind the Spend

Procurement frameworks act as pre-approved supplier lists that NHS trusts and Integrated Care Boards (ICBs), as well as NHS organisations, NHS Supply Chain, combined authorities, and local authorities, use to streamline purchasing. Knowing which frameworks are active—and when they’re due for renewal—gives suppliers a vital competitive edge. In practice, being on the right framework often means gaining access to a steady pipeline of NHS opportunities, while being absent can effectively shut a supplier out of major segments of spending.

But frameworks are not all equal. Some are managed centrally by NHS England, while others are run externally by third-party organisations. This introduces variations in quality, accessibility, and transparency that can make it difficult for SMEs to plan ahead. For example, one framework may be free to access but highly competitive, while another might require entry fees or impose stricter compliance checks. Understanding these nuances is critical to building an effective sales strategy.

This is where data becomes crucial. Tools like HCI’s Award Data allow suppliers to:

• Track framework expiry dates and upcoming renewals to time bids effectively
• Identify which frameworks competitors are on, and assess their strengths and weaknesses
• Prepare bids in advance of re-tendering cycles, ensuring readiness rather than last-minute scrambling
• Map spending trends across different frameworks to focus on those offering the highest growth potential

Explore a free demo to see which frameworks matter most for your business.

NHS Procurement Process: What Suppliers Need to Know

While procurement processes vary by contract, the typical stages are:

1. Requirement Identification – A trust defines its need by assessing procurement needs and considering the input of multiple stakeholders to ensure all requirements are balanced.
2. Tender Publication (via Atamis) – Opportunities are listed with specifications and deadlines.
3. Pre-Qualification – Questionnaires test suitability, finances, and compliance. This can be a time-consuming process, especially for non clinical and non clinical services, as additional checks may be required.
4. ITT Submission and Evaluation – Bids are assessed under MAT scoring, considering quality, cost, ESG, and social value, while ensuring compliance with public contracts regulations.
5. Award and Contract Management – Contracts are delivered and monitored, with KPIs published. The buying process is streamlined through framework agreements to reduce administrative burdens and ensure compliance.

The competitive process is a key part of the Provider Selection Regime (PSR), ensuring a fair and transparent method for awarding contracts. Relevant authorities must follow statutory procedures to select providers, and it is crucial to review the proposed contract terms carefully before submitting a bid to ensure all requirements are met.

With the move from MEAT to MAT, evaluation now covers ESG, local impact, innovation, and patient outcomes. There is a growing shift towards value based procurement, which emphasizes not just cost but also long-term value and improved patient outcomes. Suppliers must adapt bids to demonstrate compliance and showcase measurable value.

Insights from the Data: Who’s Buying What?

Data-driven insight is becoming a game-changer in NHS procurement. Rather than relying on anecdotal information or word-of-mouth intelligence, suppliers can now use award data to build a clear picture of where opportunities exist and how competitors are performing. By leveraging these insights, suppliers can achieve cost savings, reduce waste, and support continuous improvement in their procurement strategies.

By analysing award data, suppliers can gain clarity on:

• Who’s buying what – track purchasing trends across trusts and ICBs, identifying which regions are investing more heavily in certain goods or services.
• Competitor intelligence – monitor who is winning contracts, at what value, and how often, creating benchmarks to measure your business against.
• Pipeline opportunities – identify contracts coming up for renewal before they hit the open market, enabling suppliers to prepare evidence, partnerships, and pricing models well in advance.
• Market gaps – spot areas where frameworks or supplier coverage is thin, helping you focus resources on sectors or geographies with unmet demand.
• Key benefits – use award data to improve patient outcomes and reduce waste by targeting resources more effectively and optimizing procurement decisions.

For example, an SME specialising in digital health may use award data to see which ICBs are heavily investing in telehealth platforms, then position themselves for the next round of tenders in that region. This proactive use of data transforms procurement from reactive to strategic. Building strong relationships with suppliers and embracing innovations are also crucial for driving procurement efficiency and reducing waste.

Want to see your business grow? Explore our HCI plans.

Transparency, Reform and Innovation in NHS Procurement

One of the strongest drivers of reform is transparency. The Procurement Act 2023 mandates:

• Publication of KPIs and supplier performance data
• A central framework register for easier navigation
• Pipeline visibility for future opportunities
• Debarment lists for underperforming suppliers

Compliance and transparency requirements now also address modern slavery, with Procurement Policy Notes (PPNs) emphasizing anti-slavery measures and ethical supply chains. The Cabinet Office oversees these procurement reforms, ensuring that public sector procurement aligns with updated regulations and ethical standards.

While this increases fairness, suppliers must be prepared for greater scrutiny and more frequent performance monitoring. NHS buyers are expected to use this transparency to drive accountability, making contract delivery records more visible across the system.

At the same time, the NHS is actively rewarding innovation in procurement, particularly around:

• Sustainability and carbon reduction – such as suppliers demonstrating clear net zero roadmaps or low-carbon product design.
• Digital integration into service delivery – for example, using AI to streamline patient care pathways or digitising supply chain processes.
• Patient outcomes and clinical validation – proving that solutions deliver measurable improvements in patient care and safety.

Case in point: a medical device SME that couples carbon-neutral manufacturing with strong clinical trial data and a digital reporting dashboard would be positioned as an ideal supplier under these reform priorities.

Suppliers who can demonstrate added value in these areas will stand out and achieve stronger bid scores under MAT evaluation, especially by focusing on a value based approach that prioritizes quality, patient outcomes, and long-term cost-effectiveness.

Building a Strong Healthcare Procurement Strategy

Winning NHS contracts now requires more than simply responding to tenders—it demands a structured strategy with multiple interconnected elements working in tandem, with procurement strategies forming the foundation for success. Suppliers should consider:

• Framework Readiness – Are you on the right frameworks for your sector, and do you have a plan for when key frameworks expire or renew?
• ESG and Social Value – How do you demonstrate measurable impact in areas like carbon reduction, local employment, or community benefits?
• Supplier Accreditation – Do you hold required certifications (ISO, Cyber Essentials, NHS-specific accreditations) and can you provide evidence quickly during pre-qualification?
• Clinical Validation – Can you prove outcomes with robust clinical data, case studies, or peer-reviewed evidence?
• Pricing Transparency – Are you competitive and clear in your pricing models, and can you demonstrate value over the lifecycle of a contract, not just at the point of purchase? Value based procurement and a value based approach are increasingly important, focusing on overall value, patient outcomes, and long-term cost-effectiveness rather than price alone.
• Innovation and Differentiation – How do your products or services stand apart, whether through technology integration, patient outcomes, or operational efficiency?
• Partnerships and Collaboration – Could collaborating with other suppliers or forming consortia strengthen your NHS offer and expand your delivery capacity, while aligning your procurement strategy with the goals of the broader health system?

Practical Tools to Win NHS Contracts

HCI Contracts provides suppliers with the insights and technology needed to thrive in the new procurement landscape. These solutions are designed to not only help you discover opportunities but also give you the intelligence to compete strategically. They provide essential support for suppliers by offering resources and tools that enhance collaboration and efficiency throughout the procurement process:

• Opportunity Search – Find live tenders fast across all NHS portals, filter by region or service, and set alerts so you never miss a relevant opportunity. Procurement teams can use this tool to quickly identify and act on the most suitable opportunities, improving efficiency.
• Award Data – Track who’s winning contracts and what’s next, analyse competitor performance, and use expiry data to plan ahead for re-tenders. Procurement teams benefit from this data to make informed decisions and streamline contract management.
• Open API – Integrate NHS data directly into your CRM or sales system, enabling seamless pipeline management, automated alerts, and real-time updates for your team. This empowers procurement teams to automate processes and maintain up-to-date information.

These tools streamline procurement, improve bid success rates, and save valuable time. Book a Free Demo to see them in action.

Your Next Steps in Navigating NHS Procurement

To position your business for success in the new NHS procurement environment:

• Understand which frameworks are relevant for your sector.
• Track award and expiry data to anticipate and access procurement opportunities.
• Ensure compliance with MAT-focused evaluation criteria.
• Invest in data tools and training to sharpen your strategy.
• Stay ahead of policy changes and procurement reforms.

Whether you’re an established supplier or new to NHS procurement, taking a proactive and data-led approach will give your business a decisive advantage.

Start today by using our Opportunity Search to explore live NHS tenders in your area and manage your procurements efficiently.

Final Takeaways

The NHS procurement system is undergoing its most significant transformation in years. With new legislation, greater transparency, and the rise of digital procurement, suppliers who act quickly and strategically will thrive.

By understanding frameworks, adapting to MAT scoring, and leveraging tools like Award Data and Opportunity Search, your business can stay ahead of competitors and secure more NHS contracts.

Ready to make smarter moves in NHS procurement? Book your free demo now and take the first step towards winning more contracts.