The UK Government wants to save billions per year with new tech procurement site

• The UK government is developing a new tech procurement platform
• The National Digital Exchange will connect public agencies with suppliers
• This hopes to save £1.2 billion per year

The Department for Science, Information, and Technology has announced a ‘first-of-it’s kind’ new platform for public sector procurement, which it claims will unlock £1.2 billion per year in savings, and modernise the public sector’s tech investments.

The National Digital Exchange will be a platform in which public sector agencies can rate and review tech products, service, and software, which will help schools, hospitals, and other departments choose the most reliable and appropriate tech - and also help let them know which to avoid.

By helping the public sector make faster and better informed procurement decisions, the platform will open up the market to more UK tech firms, and to boost small business involvement in government tech contracts by 40% within three years.

Faster, fairer, and focused

This platform is currently in development, and will be created under the Procurement Regulations, and is being developed alongside a "digital playbook” that will guide procurement officials towards responsible tech purchases.

The British Government has been pushing for tech development all round, with the introduction of the AI action plan, which is aimed at turbocharging the British AI sector.

This is a 50 point plan that includes initiatives like handing over public data to researchers, including anonymised NHS data, to train AI models, as well as introducing “AI Growth Zones” that speed up AI infrastructure - such as data centre building and access to the energy grid.

“We’ve all heard the stories — months of red tape, tech that doesn’t deliver, and money wasted. That’s not good enough for the people we serve,” said Feryal Clark, Minister for AI and Digital Government.

“The National Digital Exchange aims to change that. It will make it faster, fairer, and focused on what works — with real reviews, upfront pricing and smart AI to match buyers with the right suppliers in hours. It’s a clear example of our Plan for Change in action: cutting waste, boosting innovation, and backing British tech to deliver better public services.”

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