Strategic Suppliers' Market Share Challenged in 2018

The Cabinet Office designates 34 companies as 'Strategic Suppliers' to Government. These firms are deemed so important to the delivery of essential public services that the Government's relationship with them is centrally managed.

Exclusive analysis by Tussell of the public sector contracts won by the Strategic Suppliers in 2018 reveals some interesting and unexpected insights. Read on for the key findings or download the full report to learn more.


In general, we've discovered that the public sector marketplace is diversifying, with the top firms - including the Strategic Suppliers - seeing their market share start to diminish. This provides opportunities to companies of all sizes to challenge the incumbents.

  • There was a year on year drop of £2.4bn - 36% - in the total lifetime value of new contracts won by the Strategic Suppliers in 2018. 

  • The volume of contracts awarded declined by a lower rate of 16% on 2017.

  • Two thirds of the Strategic Suppliers won less in 2018 than 2017.

  • Mitie was the biggest winner, with the highest value of contracts won as well as the largest year on year change.

  • Five firms won contracts in total worth more than £200m -  including Interserve whose debt-for-equity swap was announced earlier this week.

  • Capita alone won 165 contracts - 16% of the total number of Strategic Supplier contracts in 2018.

  • The proportion of total contract value awarded to the Strategic Suppliers in 2018 almost halved on 2017, from 10.3% to 5.8%.

The full report covers the value and volume of contracts won by each of the 30 firms last year, the biggest winners and losers compared to 2017, the top buyers and biggest contracts won. Enter your details below to download it.

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