What's Happening?
The UK government has opened bidding for the G-Cloud 15 framework, a significant update to its technology procurement system, projected to be worth nearly £17 billion. This new iteration will replace the existing
G-Cloud 14 and Cloud Compute 2 frameworks, which have facilitated public sector cloud hosting purchases since 2021. The G-Cloud 15 framework introduces a more streamlined approach, allowing for both competitive and direct awards across its five sections. These sections include infrastructure and platform-as-a-service, software-as-a-service, and cloud support services. The framework aims to enhance the buyer and supplier experience with digital improvements and more tailored financial security checks. Bids are open until January 30, 2026, with contracts expected to be finalized by September 2026.
Why It's Important?
The launch of G-Cloud 15 is a pivotal development for the public sector's digital transformation, offering a more flexible and comprehensive procurement process for cloud services. This framework is expected to drive significant growth in the public cloud market, which is estimated to be worth £6 billion in 2024. By enabling direct awards and competitive processes, the framework provides public bodies with greater flexibility in selecting cloud service providers. The introduction of digital enhancements and tailored financial checks aims to improve the quality and security of services procured, potentially leading to more efficient and cost-effective public sector operations. This development is crucial for suppliers looking to secure government contracts and for public bodies seeking to modernize their IT infrastructure.
What's Next?
The G-Cloud 15 framework is set to run for four years until 2030, marking a shift from the shorter terms of previous iterations. As the bidding process progresses, suppliers will need to adapt to the new requirements and enhancements introduced in this framework. Public bodies will likely begin preparing for the transition to the new system, evaluating their current cloud service needs and potential suppliers. The framework's implementation will be closely watched by stakeholders in the public sector and technology industry, as it could set a precedent for future government procurement strategies.
