The FMB works hard to influence trading conditions in Scotland to protect, support and promote the local construction firms which make up its membership. Amongst other things, this involves listening to members and speaking out on their behalf to policy makers in local and national government. We know from our 2020 member census that only 13% of FMB members deliver work for both private and public sector clients. From my conversations with members across Scotland I feel that this number may be increasing, with more members looking to win work from clients across the public sector.
The Scottish public sector is a huge, largely untapped resource
The Scottish public sector is a significant customer with an annual spend of more than £4 billion on building or civil engineering works. However, I know there are many obstacles which have put local building firms off from engaging in the public sector procurement process. Being tripped up by all of the red tape within the resource intensive pre-qualification process tops the list, along with the lack of visibility of public sector contracts suitable for SMEs. I have highlighted these issues to procurement officials in both central and local Government in Scotland. Members based in different local authorities, keen to grow their business and provide high quality construction services to the public sector have felt undervalued and ignored.
Members’ perspectives on securing public sector work
In recent weeks I caught up with three FMB members with experience of working for public sector clients. Robert Wilson, Managing Director of Wilson Decorators Ltd pointed out that the speedy payments are a big ‘public sector plus.’ His clients include various housing associations over many different areas, as well as their local council. In Glasgow, Young Wilson & Cunningham provide proactive maintenance and refurbishment services to NHS Trusts. Director Theresa Brown acknowledges that completing pre-qualification questionnaires and keeping on top of compliance requirements can be a drain but agrees with Robert that once the work is won, it can be very rewarding. Spectrum Decorating Ltd serve domestic, commercial and industrial clients but until recently hadn’t won regular work from local authorities. Joint Managing Directors Norrie Russell and Paul Dixon decided that the business needed to achieve relevant ISO accreditations if it was to change this. With the accreditations secured, Norrie confirmed that they are now winning more work from South Lanarkshire Council.
New opportunities for SME builders
Now I know many members will continue to work exclusively for domestic clients; it this their speciality after all. However, there are changes taking shape within Scottish procurement policy which will take more account of the potential impact on and ease of access for SMEs. When we consider climate change too, our public sector buyers will have to seek local suppliers to deliver local services. This will include building and construction related services too. Look out for my next blog on construction for the public sector which will follow in March.
Want to find out more?
For more information on the prospective role of SMEs in the Scottish public sector, contact Gordon Nelson via [email protected] or on 07769 687232.
Authors
Gordon Nelson
Director, Federation of Master Builders Scotland
