Scotland launches construction contracts review

11 October 2012

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11 October 2012 | Anna Reynolds

The Scottish government has ordered a review into the way public construction contracts are carried out to discover if public bodies have adopted streamlined processes to deliver value for money.

The review will also address the use of cutting edge design and technology, energy efficient techniques, materials and eco-friendly construction methods.

Scotland’s public bodies spend around £2 billion of the country’s £9 billion procurement spend on construction procurement.

Nicola Sturgeon, deputy first minister and cabinet secretary for infrastructure, investment and cities, said in a statement: “The review will examine how we can improve the impact of this spending on Scotland’s economic growth and on the quality of Scotland’s built environment.

“In spite of Westminster’s significant cuts to our capital budget, we are working flat-out to maximise investment in infrastructure projects and to improve the way the procurement system operates.

“This review will play a fundamental role in paving the way forward for our construction sector, helping to support jobs, to promote sustainable working practices and, most importantly, reaping maximum gains for Scotland’s economy.”

KPMG non-executive director Robin Crawford and Ken Lewandowski, former chairman of the Clydesdale Bank Financial Solution Centres in Glasgow, have been appointed to lead the review, which is expected to be completed by summer 2013.

Crawford said: “We will draw on the best examples of good practice in procurement in both the public and private sectors and will take account of earlier relevant reports on aspects of this issue.

“We will listen carefully to the views of all stakeholders before reaching our conclusions.”

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