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Public procurement access
Following the award of a state-funded railway contract to a foreign firms (Siemens), which beat a contract put together by the subsidary of another foreign company (with commercial operations in the UK (Bombardier Transportation), on 6 July 2011 the UK Business and Transport Secretaries have written to the UK Prime Minister seeking a review of the UK public procurement system. This particular government contract award decision is said to threaten up to 1,400 jobs in the UK at a time of high unemployment.
According to a press release issued by the Department for Business Innovation & Skills the Business Secretary, Dr. Vince Cable, is reported tohave said: "I am very disappointed with today's news from Bombardier Transportation that it has started consultation likely to result in significant job losses at Derby as a result of not winning the Thameslink contract...
'Philip Hammond, the Transport Secretary, and I recently wrote to the PM to highlight the issue of public procurement and how we should manage the process in the public sector to sustain a competitive supply base that meets the UK's strategic needs within EU procurement rules.
'We recognise that there is a need to examine the wider issue of whether the UK is making best use of the application of the EU procurement rules. The Government will now look at this area in the next phase of the Growth Review."
To date the Prime Minister's office has not responded.
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