UK Software Procurement Methods
| Method | When to Use | Threshold (indicative) | Key Requirements |
|---|---|---|---|
| Direct Award | Known supplier, low value, non-complex | Under £10,000 | Competitive quote obtained, documented rationale |
| Simplified Competition (quotations) | Low-medium value, few qualified suppliers | £10K–£50K | 3 competitive quotes, evaluation criteria documented |
| Open Tender (RFP/ITT) | Medium-high value, competitive market | £50K–£250K | Published requirements, scored evaluation, standstill period |
| Competitive Procedure with Negotiation | Complex, innovative, or regulatory requirements | £250K+ | Pre-qualification stage, dialogue permitted, final offers |
| G-Cloud (public sector only) | Cloud software/services, publicly funded organisation | Any value | Direct award from G-Cloud catalogue — competitive procurement already done by CCS |
| Digital Outcomes (public sector) | Bespoke development services, public sector | Any value | Opportunity posted, shortlisted suppliers, evaluation and award |
RFP Writing — The Most Common Mistakes
| Mistake | What Happens | How to Avoid |
|---|---|---|
| Describing a solution not a problem | Suppliers build what you described, not what you need. Your solution assumption may be wrong. | Describe the business problem and outcome required — not the technical solution |
| Unclear evaluation criteria | All responses look similar; decision is subjective and challengeable | Publish weighted scoring criteria: 30% technical approach, 25% price, 20% experience, 25% compliance |
| No fixed-price requirement | T&M responses — cost risk on buyer, no delivery incentive for supplier | Require fixed-price proposals (with Technical Discovery if needed) |
| Ignoring IP rights | Supplier retains code IP — you are licensing, not owning, on termination | Require: all IP assigned to buyer, source code access from Day 1 |
| Minimum compliance as standard | All suppliers claim compliance — no differentiation on compliance quality | Ask for specific evidence: ISO 27001 certificate, Cyber Essentials Plus certificate, specific case studies |
| Too long | 100-page RFP deters the best suppliers (busy) and attracts those who write bid documents (not deliver) | 20–30 page maximum. Detailed scope in annexes. Time-box the response to 2 weeks. |
Contract Negotiation — UK-Specific Essentials
IP assignment: all intellectual property assigned to buyer — not licensed. On termination, buyer owns the code unconditionally.
Source code access: buyer has access to source code repository from Sprint 1 — not only at project end.
UK GDPR Article 28: if supplier processes personal data, a DPA (Data Processing Agreement) is mandatory before work begins.
Fixed price: insist on fixed price after Technical Discovery — not T&M for a defined delivery phase.
Exit rights: termination for convenience with 4-week notice, paying only for work completed to date.
Handover obligations: specified deliverables at project end — documentation, knowledge transfer, infrastructure access transfer.
Escrow (for SaaS): source code escrow with a UK-registered escrow agent if SaaS is business-critical.
Every UK software development contract should address these negotiation points:
UK Public Sector Procurement — G-Cloud and Digital Outcomes
| Framework | For | How It Works | ClickMasters Status |
|---|---|---|---|
| G-Cloud 14 | Cloud software (SaaS/IaaS/PaaS), managed services | Suppliers listed on catalogue; buyers direct award; no further competition required | ClickMasters on G-Cloud 14 |
| Digital Outcomes & Specialists 6 | Bespoke digital development, user research, testing | Opportunity published; shortlisted suppliers; evaluation and award; 2–4 week timeline | ClickMasters on DOS 6 |
| NHS Software Catalogue | NHS-specific software and services | NHS Supply Chain managed list; DTAC compliance required | Apply via NHS Supply Chain |
| Crown Commercial Service Digital Technology | Technology products and services, larger contracts | Open tender via Find a Tender Service (FTS) | Case-by-case tender application |