ABSTRACT

This chapter will discuss the changing nature of public-sector procurement in relation to the building sector. Public-sector projects are introduced with reference to traditional and current procurement processes. Contemporary integrated public-private procurement processes in the public sector are then outlined with reference to the Gateway process as developed by the independent office of HM Treasury, known as the Office of Government Commerce. The advent of the Gateway process is drawn from developments within the Private Finance Initiative (PFI). The initiative was introduced in 1992 to radically overhaul arguably inefficient and wasteful wholly public-sector procurement. The PFI method of financing the building sector and its procurement practices in public projects is discussed in this chapter in relation to procurement use within Public-Private Partnerships (PPPs). PPPs form the basis of public-sector businesses that embrace the advantages and disadvantages of both sectors. The future of PPPs are also discussed in this chapter, especially if it can be argued that this type of partnership will become a less or more frequent option for public-sector building projects and procurement.