Big Wins for Small Businesses, Social Enterprises and Charities: How the New UK Procurement Rules (and AutogenAI) Can Help You Compete
A Bigger Share for the Smaller Supplier
If you’re a small business or a social enterprise, the UK Government has just put something big on the table.
In its June 2025 consultation, “Public Procurement: Growing British Industry, Jobs and Skills”, the Government proposes new legally binding targets for direct spending with Small and Medium Enterprises (SMEs) and Voluntary, Community and Social Enterprises (VCSEs). If adopted, these changes would require all central government departments to actively grow the share of contracts awarded to smaller suppliers.
This isn’t just about guidance or best practise. The Government intends to amend the Procurement Act 2023, making these targets a legal requirement — not an optional goal.
The consultation is open until 5 September 2025, but the direction is already clear: the future of public procurement is more inclusive, more strategic, and more focused on impact. And that’s good news for smaller suppliers — if you’re ready to meet the moment.
What’s Being Proposed?
The UK Government is proposing a new legal obligation to increase the share of public procurement spend going to SMEs and VCSEs.
Since 1 April 2025, all central government departments and their arm’s-length bodies are required to set three-year targets for direct spend with SMEs. These targets must be published, monitored, and reported against annually.
Targets for Voluntary, Community and Social Enterprises (VCSEs) are set to follow in 2026, broadening the focus from commercial small businesses to include community-driven organisations.
Crucially, the Government isn’t just updating internal guidance. It plans to amend the Procurement Act 2023, turning these commitments into legally enforceable requirements.
The message is clear: public procurement is no longer just about value for money. It’s also about value for communities, and small suppliers are being positioned as key to delivering it.
Why This Matters for You
If you’re an SME, charity or a social enterprise, you’ve likely faced barriers when trying to win public sector work, from complex procurement processes to competition with larger incumbents.
This consultation changes the narrative.
The Government is signalling that smaller suppliers aren’t just welcome, they’re essential to delivering public value. With direct spend targets written into law, buyers will be under pressure to award more contracts to organisations like yours.
But here’s the catch: opportunity doesn’t guarantee success.
You still need to prove that you’re:
- A credible delivery partner
- Able to generate social and economic impact
- Aligned with the strategic missions driving public sector procurement
This is your moment, but you’ve got to show up ready.
Three Things You Need to Do Now
The Government wants to award more work to smaller suppliers, but that doesn’t mean contracts will be handed out easily.
To take advantage of this shift, SMEs and VCSEs need to make sure their bids hit the right notes: credible, impactful, and aligned with government priorities.
Here are three things to focus on right now:
1. Position Yourself as Low-Risk, High-Impact
Public sector buyers are still risk-aware. They need confidence that you can deliver on time, on budget, and to spec.
That means showing you have:
- A clear delivery model
- Relevant experience (or partners who bring it)
- Strong governance and compliance processes
The more you make the evaluator’s job easy, the better your chances.
2. Lead with Your Local Impact
This consultation is all about outcomes, especially those tied to jobs, skills, and communities.
VCSEs and SMEs are often rooted in place. Use that to your advantage:
- Highlight how your work supports local people
- Quantify the benefits from apprenticeships to reinvestment
- Align your impact with the Government’s five missions, especially economic growth and opportunity
3. Make Your Bid Look and Sound Like a Winner
Even with policy support, poor bids still lose.
Your writing needs to be:
- Clear and persuasive
- Focused on the buyer’s priorities
- Structured to show value quickly and consistently
Good ideas won’t win if they’re buried in waffle. You need to sound like the right choice from page one.
How AutogenAI Can Help SMEs Win Big
Take the small business bid lead who used to spend days crafting responses from scratch. With AutogenAI, they now generate structured, high-quality first drafts in minutes. The result? Faster turnarounds, more consistent messaging, and stronger win rates, all without sacrificing control or creativity.
For SMEs and VCSEs competing against larger suppliers, that kind of efficiency changes the outcome. Here’s how AutogenAI helps you level the playing field — and win.
Create More, Win More
One SME in education and employment services used AutogenAI to scale their bid output and grow annual revenue from £15 million to £30 million in just 12 months. More bids. Better alignment. Bigger results.
Show Your Impact, Fast
Use the Evidence and Case Study tools to surface powerful examples, highlight proven outcomes, and build in credible metrics like job creation, local delivery, or social value impact.
You’ll spend less time hunting for content, and more time standing out.
Speak the Buyer’s Language
With Library AI, your bids draw directly from a custom content bank aligned to the Government’s five missions and procurement priorities.
That means you’re not just compliant, you’re compelling.
Smarter Answers. Sharper Insight.
Need to explain a model, define a term, or translate a policy into plain English? Use Ask AI to generate clear, accurate content on demand.
For deeper context, the Research Assistant pulls insights from government guidance and your own bid history, fast.
Review Like a Pro, Even Without One
With Gamma Review, you can instantly assess your bid for compliance, alignment, and scoring potential. No need to tie up senior staff for hours. Just get a clear, actionable review at the push of a button.
Built for Small Teams. Ready for Big Wins.
Whether you’re a one-person bid team or a lean VCSE, AutogenAI gives you the tools to look, sound, and compete like a major supplier, without the overhead.
Final Word
The UK Government’s 2025 consultation could mark a major shift in public procurement. And this time, it’s one that works in favour of smaller suppliers.
If the bids are passed, SMEs and VCSEs won’t just be encouraged to bid, they’ll be central to how public money is spent. But opportunity is only part of the equation. To win, you still need to deliver strategic, professional, and persuasive bids that show why you’re the right choice.
From high-quality first drafts to built-in evidence, insight, and review, AutogenAI gives small teams the power to produce big results faster, easier, and with greater impact.
Want to compete for bigger contracts and win more public sector work?
Click here to book a demo and see how AutogenAI helps you win on your terms.
