The Prime Minister David Cameron has launched a new online tool which reveals details of all new procurement opportunities, tender documents and contracts for central government over £10,000.

Cameron announced that in addition to the new Contracts Finder tool, the government has introduced a drive to increase accountability and transparency, including the publication of all existing contracts above £25k in value and the ongoing SME feedback facility on the Number 10 website.

The government also plans to introduce other measures to encourage more open competition, such as breaking up large contracts into smaller parts, encouraging more sub-contracting by major suppliers and holding an open procurement competition from May 2011.

Speaking at the launch event at the Treasury buildings in London, the Prime Minister said: “We are announcing big changes to the way government does business. By that, I mean what I say: literally, the way it does business. The contracts it signs, the goods and services it purchases – and the way it purchases them.

“We need to make the system much more open, more competitive and transparent.”

REC chief executive Kevin Green adds: “At long last, we are starting to see action instead of just words. The REC has consistently argued for tendering procedures to be made more efficient. We seek a competitive and dynamic market place where recruitment businesses compete on their competence and capability. We also need to find the right balance between streamlining procedures and verifying quality standards.

“The government has been very clear in its commitment to help SMEs gain access to public sector work. The announcement is a tangible outcome of this. The REC will monitor how the measures are implemented on the ground and will continue to work constructively with Cabinet Office and OGC.”