Diolch, Llywydd. Procurement is one of the most important and powerful levers the Welsh Government can use to help achieve its programme for government aspiration of a more prosperous, more equal and greener Wales. Sustainable economic growth, fair work, decarbonisation and delivering effective public services are just some of the priorities that can be supported through clear, smart and effective procurement policy. I’m pleased to provide Members today with an update on our work with partners across the public, private and third sectors to support these ambitions.

The diverse scope and vast scale of Welsh public sector expenditure provides firm foundations to maximise our contribution to the seven well-being goals in the Well-being of Future Generations (Wales) Act 2015. Welsh public sector procurement also has the ability to deliver wider social value outcomes for the well-being of Wales. 'Social value' is a broad term that has been used to describe the social, environmental, cultural and economic impacts of actions taken by communities, organisations, governments and individuals. This Government is committed to working with partners across Wales and beyond to develop a modern and sustainable approach to procurement, and I have commissioned the Wales Co-operative Centre consultancy to map the current social value landscape, including the various tools available to the Welsh public sector. Wales Co-operative Centre will be engaging with stakeholders to capture findings and make recommendations to support the delivery of social value in Welsh Government, and ultimately support a consistent approach across Wales.

Procurement is an area where a great deal can be achieved when progressive partners work together, and the Welsh Government’s co-operation agreement with Plaid Cymru includes a commitment to explore how to set meaningful targets to increase the proportion of procurement spend provided to Welsh-based suppliers from its current level. We already encourage and support small and medium-sized enterprises to tender for opportunities, and I'll explore further measures that can make the tendering process easier and more practical for small enterprises in Wales. To further increase the proportion of Welsh suppliers, we will carry out a detailed analysis of the public sector supply chains. I recently met with Plaid Cymru’s designated member, Cefin Campbell, to discuss the early-stage development of this work, and I will provide a further update to members on the different strands of the work in due course.

The Welsh Government already does a lot of work to promote the purchasing of made-in-Wales products, including the use of Welsh steel in infrastructure projects. I'll explore further with my ministerial colleagues the opportunities that the new Wales infrastructure investment strategy gives us to make further progress in this area, including extending the opportunities for Welsh steel in public projects. 

In relation to the UK Government’s procurement reform proposals, my officials have been working closely with the UK’s procurement reform Bill team to input into the development of the Bill. Members will recall my written statement of 18 August, where I set out that provision for Welsh contracting authorities is to be made within the UK Government’s procurement reform Bill. This decision followed engagement with social partners and stakeholders across the public, private and third sectors, and was subject to the receipt of written assurances from the UK Government that joining the UK legislation would not negatively impact Welsh Government’s social partnership and public procurement (Wales) Bill, rather the legislation will complement each other and maximise our ability to achieve the important policy outcomes we seek.

Whilst the UK Government’s procurement reform Bill will focus on the underpinning processes across the commercial lifecycle, the social partnership and public procurement Bill will focus on ensuring socially responsible outcomes are achieved from our procurement. As my colleague the Deputy Minister for Social Partnership has confirmed, my officials continue to liaise with both the UK’s procurement reform Bill team and the social partnership and public procurement Bill team to ensure minimal misalignment between these two important pieces of legislation.

We understand that it is the UK Government’s intention to introduce the procurement reform Bill when parliamentary time allows. My colleague the Deputy Minister for Social Partnership has also previously indicated that we remain on track to introduce the social partnership and procurement Bill in the first year of this Senedd term. It's therefore possible that both the UK’s procurement reform Bill and Welsh Government’s social partnership and public procurement Bill will be introduced to the Senedd around the same time. Together, these two Bills will provide a new, progressive platform for procurement in Wales that delivers social, environmental, economic and cultural outcomes, including our ambition to make Wales a fair work nation.

We are very mindful of the support that will be needed by practitioners and industry as a result of these changes in legislation, and we will work with stakeholders to ensure practical and comprehensive statutory guidance will be in place as soon as possible after the Bills have gained Royal Assent. This guidance will be particularly important in the context of the continued challenge around the lack of procurement capacity and capability in the Welsh public sector. I was pleased to issue a written statement to the Senedd earlier in November highlighting what we are doing to help to boost the profession. In collaboration with stakeholders, we have delivered a programme for raising the capability and capacity of the procurement profession in Wales with funding of nearly £700,000 since 2020. We have supported 118 public sector staff members to undertake the Chartered Institute of Procurement and Supply corporate award programme. The bespoke courses incorporate use of familiar language and terminology, drawing on Welsh examples to help students put Welsh procurement policy into practice. I have recently approved future funding for the programme that will support another 76 places on the cohort programme.

During the last year, we've also carried out a discovery exercise to help us improve our digital procurement systems and to get them ready to support both procurement reform and other important policy drivers, such as the social partnership Bill. This feedback was used to create our latest digital road map for procurement for the next three years, and this work has now moved into its delivery phase. Our work also aligns with recommendations from the future generations commissioner for a Welsh procurement centre of excellence. We launched a discovery exercise at the end of last year with stakeholder contribution from across the Welsh public sector. I'll be considering the findings and recommendations arising from the exercise over the next few weeks.

There is a great deal of exciting work being undertaken by this Welsh Government to drive forward procurement for the benefit of the Welsh public and for future generations, and I look forward to hearing from Members across the Chamber today. Diolch.