The European Commission has published a proposal for a new Regulation on Public Contracts and Concessions that would replace the current procurement directives with a single, directly applicable EU framework. The reforms could reshape market access, security and supply chain requirements, award criteria, sustainability expectations and digital procurement across the EU. Businesses that supply the public sector, particularly across multiple Member States or through complex international supply chains, should assess how the proposal may affect their procurement strategy and competitive position. Read our overview below and download the full guide for a practical summary of the key proposed changes.
The European Commission's proposal for a new Regulation on Public Contracts and Concessions could fundamentally reshape the way businesses compete for public contracts across the European Union. While the proposal is at an early stage of the legislative process, its direction is clear: public procurement is set to become more harmonised, more security-focused and more closely linked to supply chain resilience, sustainability, innovation and digitalisation. Businesses should therefore look beyond the legal detail and consider what the proposed changes could mean for market access, bid strategy and their competitive position.
The proposal marks a significant change in the structure of EU public procurement law. Instead of a set of directives implemented through national legislation, it would establish a single Regulation applying directly across the European Union. For businesses operating in several Member States, this could create a more harmonised framework, while also requiring existing assumptions based on national rules, exemptions and procurement practices to be revisited.
A broader focus on security and supply chains
Security and public safety would become express procurement priorities. Contracting authorities may be required to consider risks connected with ownership structures, cybersecurity, critical technologies, sensitive information, supply chain dependencies and resilience against external threats. Suppliers may therefore need to demonstrate more than technical and financial capability. Organisational resilience, security compliance and trustworthiness could become increasingly important, particularly in sectors linked to critical services and infrastructure.
The proposal also places greater emphasis on supply chain transparency. Contracting authorities may seek more information about sourcing models, subcontractors and contingency arrangements. Businesses with complex or international supply chains should consider whether their current structures and risk management processes will provide the required level of visibility.
Market access and European preference
A more structured framework is proposed for suppliers, goods and services originating from countries covered, and not covered, by the EU's international procurement commitments. Contracting authorities may receive broader powers to favour covered operators and supply chains. As a result, the origin of products, services, suppliers and subcontractors could become a more prominent factor in public procurement competitions.
Quality, sustainability and innovation
The proposal strengthens award on the basis of the best quality-to-price ratio. Quality criteria would play a greater role and, in some cases, minimum weighting requirements would apply. This may create opportunities for businesses that compete through expertise, innovation, sustainability performance or service quality rather than price alone.
Environmental, social and innovation-related considerations would also move closer to the centre of procurement procedures. Businesses may increasingly need to evidence sustainability credentials, responsible supply chains, resource efficiency, working conditions and innovation capabilities when bidding for public contracts.
A more digital procurement ecosystem
The proposed framework envisages an EU-wide digital procurement ecosystem, including interoperability between procurement platforms, digital business credentials, common procurement data spaces and electronic verification tools. This could simplify participation in cross-border tenders, but may also introduce new expectations relating to procurement data, digital identities and technology infrastructure.
What should businesses do now?
Although the proposal will now move through the legislative process, businesses active in public procurement should begin assessing where the changes may create risks or opportunities. Priorities include reviewing exposure to public sector revenues, mapping relevant ownership and supply chain arrangements, identifying key suppliers and subcontractors, and considering how quality, sustainability and innovation credentials are presented in public sector bids.
Our full guide summarises the principal proposed changes, explains why they matter for businesses and highlights practical steps organisations can take now.
Next steps
Complete the short form to download our guide, A New EU Public Procurement Regulation: Key proposed changes and what they mean for your business. If you would like to discuss how the proposed Regulation could affect your business, please get in touch with one of our key contacts.
