The reform of procurement law has not fully achieved its objectives.

The European directives on public procurement were reformed in 2014. The aim was to ensure fair competition, achieve the best value for money in the use of public funds, optimise socially desirable outcomes, promote more sustainable and innovative public spending, and contribute to the fight against corruption. However, the evaluation of the directives – the results of which were published by the European Commission in mid-October – shows that these objectives have only been “partially achieved”.

Limited use as a strategic instrument

The 2014 reform of the procurement directives intended to give public procurement a more strategic orientation. Public funds were to be used more strongly to pursue environmental, innovative, and social objectives. However, the extent to which these aims are applied varies significantly among Member States. In light of geopolitical changes and the shift in political priorities in the current 10th legislative term, issues such as economic security and strategic autonomy have become increasingly important. This is already evident in the ongoing legislative process for the Critical Medicines Act, where discussions focus on how the production of essential medicines in Europe can be supported in a binding manner under procurement law.

Procurement procedures have become more complex

Despite efforts to simplify procurement procedures, they continue to be perceived as complex and rigid. The coexistence of procurement provisions in sector-specific legislation – often aimed at advancing strategic political goals – alongside the European procurement directives has resulted in regulatory inconsistencies, further complicating public procurement. Additional regulatory requirements introduced by Member States – the so-called “gold-plating” – also add to this complexity. As a result, authorities require highly qualified staff with specialised training. Yet the necessary capacity-building efforts lag behind actual needs.

Flexibility remains underused

The reform of the procurement directives also sought to make public procurement more flexible in order to reduce administrative burdens. This goal has likewise been only “partially” met. The options created for choosing between different procedures have largely remained unused – over 80% of all procurements continue to rely on open procedures, where an unlimited number of economic operators are publicly invited to submit tenders. At the same time, the use of framework agreements – which establish the terms for future public contracts – has increased.

Poor marks for legal certainty

Legal certainty and clarity were key expectations of the reform of the European procurement directives more than ten years ago. The evaluation reveals that these expectations have not been met. Reports indicate difficulties in interpreting important definitions, the rules governing contracts between contracting authorities within the public sector, exclusion grounds, abnormally low tenders, and determining the applicable legal instrument, among other issues. Interpretation challenges are also noted regarding the interplay between classic procurement, utilities procurement, and concessions. Additional questions arise concerning the access of economic operators, goods, and services from third countries.

The bar is set high for the upcoming revision

Given the disappointing results and the need to stimulate competition within public procurement markets, the European Commission faces a significant task. With the introduction of “Made in Europe” criteria, Commission President Ursula von der Leyen has reinforced the ambition to use public procurement as a strategic policy instrument. The guiding themes are familiar: competitiveness, resilience, security. It appears less likely that the planned revision of the procurement directives – expected in the second quarter of 2026 – will introduce new options or obligations for applying environmental or social procurement criteria. On 24 November, the Council Working Party on “Competitiveness and Growth (Public Procurement)” will examine both the revision of the procurement framework and the evaluation of the European procurement directives.