Insight
Fifty suppliers were shut out of G-Cloud by mistake
A UK startup was rejected from G-Cloud 15, the government's main digital marketplace, because it had raised money on a SAFE and the framework's financial assessment read that as debt. Government was its main customer, so the rejection was close to existential. When it was queried, the answer came back that the whole thing had been a policy oversight. SAFEs should never have been treated that way, and more than fifty other suppliers had been rejected for exactly the same reason. That story comes from a policy paper the Competition and Markets Authority (CMA) published on 8 September, and it is the paper's whole argument in miniature. The CMA is the competition regulator, not the procurement regulator, which means it cannot compel any of this and can therefore be blunt in a way the Cabinet Office never is. After two years looking at scale-ups, civil engineering, defence and cloud, its conclusion is that procurement keeps turning out to be the thing quietly deciding which firms grow.