Bedford Borough Council says it backs local businesses, but spending figures show the lion’s share of its spending is going to national suppliers.
The council said it is supporting local businesses through free parking, events and promotional campaigns.
However, the council’s own data suggest its officers are spending taxpayers’ money elsewhere. The council attributes this to larger suppliers sometimes offering the best value or meeting its specific needs.
It added that incoming changes will make it easier for smaller businesses to bid for contracts.
At a public meeting in August, cllr Andrea Spice (Conservative, Wixams and Wilstead), portfolio holder for economic growth, planning and prosperity, told the Local Democracy Reporting Service (LDRS) that the council was committed to making the town more attractive for business, including employing an inward investment officer.
“This is a community and we all need to come together… actually, everybody’s got to do something,” she said.
Large business
The council has also promoted Small Business Saturday in the past, including in a December 2023 Facebook post which said: “Let’s celebrate the brilliant small independent businesses we have in Bedford borough. Show your support and shop with them today.
“Discover what’s on your doorstep!”
However, analysis by the LDRS found that during December 2023, council officers mostly spent council money (via card payments) with businesses that can be classed as “likely a large business”.
Read: Bedford Borough Council silent on payment card use as FOI reveals gaps in oversight
A council spokesperson said: “While we always strive to support small, independent businesses in Bedford borough, there are instances where larger suppliers may offer the best value or meet specific operational needs.”
Council records show a significant drop in spending on council procurement cards between February and April 2024 and between February and April 2025, with spending falling from £439,000 to £262,000.
However, even with this lower overall spending, the proportion spent with independent local businesses fell to nearly zero, at £154, or less than 0.1 per cent of the expenditure, compared to around £2,500 (0.6 per cent) in 2024.
When responding to the December 2023 data, the council spokesperson added: “The procurement landscape is set to change significantly with the introduction of the new Procurement Act.
“As we transition to the new procurement rules, we will actively explore ways to better support our local economy while ensuring we meet our obligations to provide value for money.
“We remain dedicated to promoting and supporting small businesses across the borough and will continue to champion their vital role in our community.
“The council will continue to support local business through supplier engagement days, market shaping activity and tender opportunities.”
National and large suppliers
The LDRS analysed contract payments over the same periods and found that the Borough Council is still awarding the overwhelming majority of its contracts to national and large suppliers.
Procurement cards are typically used for day-to-day purchases by officers, while contracts cover larger sums and services.
Between February and April 2025, the first full quarter after the council said the new laws would come into effect (it actually came into force in October), only 1.6 per cent of the council’s contract spending over £250 went to local independent businesses.
That represents a fall compared to the same three-month period in 2024, when 2.4 per cent of contract spending went to Bedford independents.
Regional businesses based in Bedfordshire or the surrounding area accounted for just 0.2 per cent of the council’s spending in both years.
Meanwhile, suppliers with a Bedford branch but headquartered nationally received less than 0.01 per cent.
By contrast, national suppliers with no local presence received more than £23.5 million (33.5 per cent) in early 2024 and £15.9 million (21.9 per cent) in early 2025.
The largest share of spend in both years went to “medium/other” suppliers – mainly large organisations that don’t fall into the small or local categories – with 63.9% in 2024 and 76.2% in 2025.
In total, the council spent around £70.1m on contracts in February–April 2024 and £72.5m in February–April 2025.
But these figures suggest that so far, the change has not translated into a measurable increase in contract awards to local or independent firms.
New procurement regulations
A Bedford Borough Council spokesperson said: “The council’s appointed ‘super user’ for implementation of the Procurement Act 2023 through the communities of practice has left the council, and the team are currently reviewing the progress of this project.
“Staff within the strategic, commissioning and procurement team have completed necessary training and revised documentation, and procurement processes now fall in line with the Procurement Act 2023 and Procurement Regulations 2024, plus Cabinet Office guidance.
“Under the old legislative framework (Public Contract Regulations 2015), suppliers had to repeatedly submit the same core details for each and every tendering exercise that they bid on.
“This was a significant administrative task; however, there is now a supplier registration service on the new central digital platform (created under the Procurement Act).
“This allows suppliers to register their core business details, and their information is stored securely and can be easily reused for multiple bids.
“This significantly reduces the administration burden on bidders and makes it simpler for SME [Small and Medium-sized Enterprise] businesses to find and bid for public sector contract opportunities, thereby resulting in a more efficient, transparent, and accessible procurement process for all suppliers.”
They added that the council has developed a new document, which the procurement team will be referring to. The council stated that the Act doesn’t directly mention social value, but it does require councils to consider it.
This includes following government guidance that encourages contracts to deliver community benefits and ensuring that small businesses aren’t unfairly excluded from bidding.
“We have created a new webpage on the council’s own website, containing all relevant information, guidance and video links informing suppliers of the new legislation,” they added.
By John Guinn
Local Democracy Reporter
