Public sector SME push "needs big attitude switch"

The government's aim to increase small-business success in winning public sector contracts will require a "big attitude switch", the Federation of Small Businesses (FSB) has said.

As part of its Enterprise Strategy, the government's advisors will assess whether it would be practical to set a target for 30% of such contracts to go to small businesses in the future.

However, the FSB says that the government will have to do better than it has in the past if it is to achieve its aim.

"It sounds like a very ambitious target", a spokesperson for the FSB told More Than Business News. "There needs to be a big attitude switch in local government and public sector organisations".

The FSB points to the Supply2.gov.uk website, which already advertises lower-value public sector contracts. The FSB says that this has had a limited impact in increasing the uptake of small business bidders, partly because there is no obligation for local public sector bodies to advertise on the site.

"If we are to meet [a 30% target] the government will have to reform the way public sector procurement is arranged," added the spokesperson.