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Access all documents on Competitive procedure with negotiation

Competitive procedure with negotiation meaning

What does Competitive procedure with negotiation mean?
A route in public procurement where a contracting authority shortlists bidders, invites initial tenders and then negotiates those tenders before inviting final tenders and awarding the contract by applying the stated award criteria throughout. Under EU‑derived rules this is a defined procedure: Public Contracts Regulations 2015 (reg 29) in England, Wales and Northern Ireland (for procurements begun under those regulations), Public Contracts (Scotland) Regulations 2015, and Ireland’s 2016 Regulations (SI 284/2016). It is typically used where needs cannot be met without adaptation or innovation, where the contract is complex (legal/financial/technical), or where prior negotiations are essential; not for straightforward, off‑the‑shelf purchases. Key features: - Selection of qualified bidders, with the right to run successive stages to reduce numbers. - Negotiation of tenders on all aspects except the minimum requirements and the award criteria. - Application of the award criteria to interim and final tenders. - Closure of negotiations before final tenders; clarifications are permitted but no material post‑submission changes. Post‑award changes are restricted by modification rules. Jurisdictions: broadly consistent in Scotland and Ireland. In England, Wales and Northern Ireland, the Procurement Act 2023 replaces the labelled “competitive procedure with negotiation” with the competitive flexible procedure, which enables similar negotiated procurement.
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View the related Practice Notes about Competitive procedure with negotiation

PRACTICE NOTES
PCR 2015 procurement correspondence: procedure-by-procedure requirements, including market engagement, notices, SQ/CAS/SPD, clarifications, selection feedback, abnormally low and non-compliant tenders, contract award and standstill letters

STOP PRESS: From 24 February 2025, the core provisions of the Procurement Act 2023 (PA 2023) now apply. Any procurement launched on or after that date must proceed under PA 2023, while procedures started under the earlier instruments—the Public Contracts Regulations 2015 (PCR 2015), the Utilities Contracts Regulations 2016, the Concession Regulations 2016, and the Defence and Security Public Contracts Regulations 2011—must continue to be run and administered in line with those rules. See Practice Note: Introduction to the Procurement Act 2023—PA 2023. PCR 2015 as assimilated law PCR 2015 are EU-derived domestic legislation and therefore constitute assimilated law under sections 2 and 6 of the European Union (Withdrawal) Act 2018. For practical guidance on the standing and interpretation of assimilated law, see Practice Note: Assimilated law. Public procurement reform The UK public procurement framework stems from EU public procurement law, and was consequently affected by the UK’s exit from the EU, albeit only to a limited degree. In substance, the UK regime continues largely...

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PRACTICE NOTES
PCR 2015 competitive procedure with negotiation: scope, stages, timescales and negotiation rules (pre-Procurement Act 2023) — England, Wales and Northern Ireland

This practical guidance concerns the position before the Procurement Act 2023. It addresses public procurement exercises launched prior to the Act (PA 2023) taking effect on 24 February 2025. Procurements within scope that start on or after that date fall under PA 2023. Transitional and savings provisions preserve the former procurement regimes insofar as needed for contracting authorities to finalise and manage procurements begun before commencement of PA 2023 (ie ongoing procurements). This Practice Note should be read on that basis. For background, see Practice Note: Introduction to the Procurement Act 2023—PA 2023. Further practical guidance on PA 2023 is provided in a separate subtopic: Procurement Act 2023—overview. Public procurement under the Public Contracts Regulations 2015 Unless an exemption applies—for example, where the contract value is below the relevant financial threshold—a contracting authority must adopt one of the five permitted procurement procedures set out in the Public Contracts Regulations 2015 (PCR 2015), SI 2015/102. For general background on public contracts procurement, see Practice Note: Introduction to public contracts...

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PRACTICE NOTES
Open Procedure under the Procurement Act 2023: practical guidance on suitability, legal requirements and key stages

STOP PRESS: From 24 February 2025, the principal provisions of the Procurement Act 2023 (PA 2023) came into force. Procurements launched on or after that date must be conducted under PA 2023. Procurements initiated under the previous frameworks—the Public Contracts Regulations 2015 (PCR 2015), the Utilities Contracts Regulations 2016, the Concession Regulations 2016, and the Defence and Security Public Contracts Regulations 2011—must continue to be let and managed in line with those rules. See Practice Note: Introduction to the Procurement Act 2023—PA 2023. This content concerns the Procurement Act 2023 regime and offers practical guidance on public procurement under PA 2023. For practical guidance on procedures used under the Public Contracts Regulations 2015 (PCR 2015), SI 2015/102, see the following Practice Notes: Public procurement—open procedure—pre-PA 2023 Public procurement—restricted procedure—pre-PA 2023 Public procurement—competitive procedure with negotiation—pre-PA 2023 Public procurement—competitive dialogue procedure—pre-PA 2023 Public procurement—innovation partnership procedure—pre-PA 2023 Competitive tendering procedures Before awarding a public contract, a contracting authority...

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View the related Precedents about Competitive procedure with negotiation

PRECEDENTS
Precedent: shortlisting letter post-SQ for restricted, competitive dialogue, competitive procedure with negotiation or innovation partnership (pre-Procurement Act 2023)

ARCHIVED: This Precedent is archived and is no longer maintained. STOP PRESS: From 24 February 2025, the principal provisions of the Procurement Act 2023 (PA 2023) are now in force...

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PRECEDENTS
Precedent letter inviting confirmation of interest—restricted procedure or competitive procedure with negotiation (SQ)—pre‑PA 2023 (PCR 2015; England, Wales and Northern Ireland) [Archived]

ARCHIVED: This Precedent is archived and no longer maintained. STOP PRESS: From 24 February 2025, the principal provisions of the Procurement Act 2023 (PA 2023) are now in full effect. Procurements started on or after that date must proceed under PA 2023, while those initiated under the earlier legislation (the Public Contracts Regulations 2015 (PCR 2015), the Utilities Contracts Regulations 2016, the Concession Regulations 2016, and the Defence and Security Public Contracts Regulations 2011) must continue to be procured and managed pursuant to that framework. Refer to Practice Note: Introduction to the Procurement Act 2023—PA 2023...

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PRECEDENTS
Archived precedent: rejection letter after selection questionnaire for restricted, competitive dialogue, competitive procedure with negotiation, or innovation partnership—pre-Procurement Act 2023

ARCHIVED This Precedent has been placed in the archive and is no longer maintained. STOP PRESS From 24 February 2025, the principal provisions of the Procurement Act 2023 (PA 2023) are in force. Any procurements started on or after that date must proceed under PA 2023, while those initiated under the former legislation must continue to be procured and administered under that legislation: Public Contracts Regulations 2015 (PCR 2015) Utilities Contracts Regulations 2016 The Concession Regulations 2016 Defence and Security Public Contracts Regulations 2011 Please refer to Practice Note: Introduction to the Procurement Act 2023—PA 2023...

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