Open Frameworks and Dynamic Markets — what the Procurement Act 2023 introduced.

What is an Open Framework?

An Open Framework is a new framework type introduced by the Act. Unlike traditional frameworks (which lock in a supplier list for the full 2-4 year term), Open Frameworks have built-in reopening windows — typically every 8 years total life, with reopening at year 4 — when new suppliers can apply to join.

This solves a long-standing complaint from SMEs: under the old regime, missing a framework procurement meant waiting 4 years for the next one. Open Frameworks reduce that gate to (typically) 4 years and allow rolling supplier addition.

What is a Dynamic Market?

A Dynamic Market is the Act's successor to the Dynamic Purchasing System (DPS). Functionally similar: suppliers apply to join at any point, qualified suppliers can bid for individual call-off contracts as they arise. Key differences from DPS:

• Broader applicability — Dynamic Markets can be used for any goods, services or works (DPSes were limited to commonly available off-the-shelf items).
• Longer lifespans — Dynamic Markets can run for up to 8 years (vs DPSes' shorter typical durations).
• Lighter joining process — qualification thresholds set by the operating authority, with the goal of making entry easier.
• Tiering allowed — Dynamic Markets can have multiple categories or tiers within them, e.g., by value band or geography.

Why this matters for SMEs and new entrants

Open Frameworks + Dynamic Markets together address the biggest structural barrier to SME participation in UK government contracting: the long wait between framework procurements. With Open Frameworks reopening every ~4 years and Dynamic Markets allowing rolling supplier additions, SMEs have meaningfully better access to the framework-call-off contract flow.

The flip side for incumbent suppliers: the competitive moat of being on a closed framework is reduced. New entrants can join mid-cycle, changing the bid dynamic on future call-offs.