Cabinet Office updates Procurement Act 2023 guidance on utilities and exempted contracts
The Cabinet Office has updated its guidance on utilities contracts and exempted contracts under the Procurement Act 2023 (PA 2023). The main substantive changes incorporate guidance on calculation provisions included in the Procurement Act 2023 (Consequential and Other Amendments) Regulations 2025. The utilities contracts guidance includes new material at paragraphs 31–43, about calculations relating to the ‘turnover test’ under regulation 42C of the Procurement Regulations 2024 (PR 2024), SI 2024/692. The turnover test is used to determine whether a supplier is affiliated to a utility for the purposes of the exemption in PA 2023, paragraph 6(3) of Schedule 2. The exempted contracts guidance includes new material at Annex B, on the tests for calculation of activities for vertical and horizontal arrangements, including guidance on the ‘attributable turnover’ and ‘non-attributable turnover’ calculations set out in PR 2024, SI 2024/692, regs 42A and 42B.