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The UK government’s latest Autumn Budget is set to reshape public sector procurement over the next two years. Bid writing consultancy Executive Compass is advising suppliers to adapt their bidding strategies now to align with emerging funding priorities for 2026 and beyond.
Whilst the budget focused on stabilising public finances through a mix of tax measures and targeted investment, the procurement specialists say its implications for contracting authorities and suppliers are significant. Understanding where public money is likely to flow will be critical for organisations looking to build resilient pipelines and improve contract win rates, according to Executive Compass.
Although fiscal pressures remain across government, the budget included expanded funding for energy efficiency, warm homes programmes, major transport schemes and Special Educational Needs and Disabilities (SEND) provision. Departments have also been instructed to appoint Procurement Innovation Champions, signalling a longer-term shift towards encouraging new and innovative solutions throughout the procurement lifecycle.
Matthew Walker, Managing Director at Executive Compass, said the announcements provide an early signal to suppliers about where opportunities will emerge. He commented: “While the budget was focused on stabilising finances, it also gives suppliers clear direction on where public sector investment is heading. Organisations that take the time now to understand these signals and align their offering accordingly will be far better placed when opportunities come to market in 2026.”
One of the most notable areas highlighted in the budget is Special Educational Needs and Disabilities (SEND) provision. The number of children with education, health and care plans has doubled since 2015, placing unprecedented pressure on local authority budgets. Executive Compass expects this focus on SEND to create sustained procurement opportunities across construction, transport and assessment services.
Decarbonisation and retrofit programmes also continue to feature prominently, with capital investment focused on warm homes and energy efficiency initiatives. Executive Compass notes that local authority-led whole-house retrofit schemes are likely to expand, alongside individual workstreams covering insulation, fabric improvements and low-carbon heating solutions.
Professional services linked to these programmes, such as retrofit assessment, coordination, surveying and project management, are also likely to see increased demand as authorities scale delivery.
Despite historical underspend on capital budgets, the government has increased planned capital expenditure by £3.3 billion in 2026–27. Alongside major projects such as the Lower Thames Crossing, Executive Compass expects further opportunities across civil engineering, construction, environmental assessments, feasibility studies and enabling works.
Digital infrastructure is also set to benefit, driven by wider government investment in AI and data centre construction.
Executive Compass is advising suppliers of all sizes, including those newer to public sector bidding, on how to take advantage of these emerging opportunities. This includes monitoring upcoming opportunities through government portals like Find a Tender and Contracts Finder, engaging with pre-market consultations, and staying alert to policy announcements that may influence major programmes.
According to the 2026 UK Facilities Management Market Research Report by askporter, facilities management professionals want clear, verifiable evidence of work being delivered, with teams that can communicate progress in real time. This requires technology that is affordable, intuitive, and quick to adopt.
Yet the report found that:
Over three quarters of FM professionals (76 per cent) experience operational inefficiencies caused by siloed software which results in a lack of real-time visibility.
Communications challenges lead to maintenance issues, with 73 per cent of teams being forced into reactive problem-solving on a weekly basis.
A worrying level of compliance gaps, with 44 per cent of admitting that half or less of their compliance tasks are tracked and automated within their systems.
Closing this gap requires the establishment of transparent and consistent communications using affordable software that gives FM teams the ability to track, evidence and improve their services.
This webinar provides a valuable overview of the main findings of the report by askporter followed by a panel discussion by FM thought leaders on practical, strategic solutions that can help close this communications gap.
To register for the webinar taking place 29 January 2026 at 11:00am click here.
