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New Project Bank Accounts Policy (2018)

New Project Bank Accounts Policy (2018)

The Welsh Government has launched a new Project Bank Accounts (PBA) policy effective from 1 January 2018.

PBAs are a mechanism to address poor payment practices in public sector supply chains by facilitating fair and prompt payment. PBAs also provide a safeguard for sub-contractors in the supply chain, against insolvency of the lead contractor. The new policy focuses on Welsh Government departments who are required to apply PBAs on all conventionally-funded construction and infrastructure contracts, and service contracts fully or part-funded by the Welsh Government with a value of £2m or more. The policy also aims to promote the use of PBAs as best practice to public sector bodies in Wales.

Although the policy is primarily focused on the procurement activities of Welsh Government departments, public sector bodies should familiarise themselves with the policy, as where they are in receipt of funding from Welsh Government, e.g. 21st Century Schools programme, conditions of funding may require PBAs to be considered.

The Project Bank Account - Procurement Advice Note (PAN) December 2017 and ‘Guidelines for deploying Welsh Government’s Project Bank Account policy’ guidance are available via the Procurement Route Planner website, in the Policy and Resources Toolkit

See the written statement from Mark Drakeford, Cabinet Secretary for Finance, announcing the policy.

If you have any queries, please contact the following mailboxes;
Welsh Government colleagues, email the Corporate Procurement Services mailbox: CPSProcurementAdvice@gov.wales
Public sector colleagues, please email the Value Wales policy team: VWPolicy@gov.wales

Source of article: Value Wales