Scottish SMEs are to benefit from new legislation that will enable them to compete more efficiently for contracts with the Scottish Executive.

The reforms aim to make it easier for smaller private sector firms to trade with the Scottish public sector.

It is also hoped that better advertising procedures, a reduction of bureaucracy and a code practice for purchasers and suppliers will be introduced.

Nicol Stephen, Scottish deputy first minister, commented: "The Scottish Executive is determined to remove the barriers which prevent many companies, particularly SMEs, getting better access to contracting opportunities in the public sector."

He added that bodies such as the Scottish Chambers of Commerce, CBI Scotland, the Institute of Directors and the Federation of Small Businesses would be involved in any future decisions and paths of action.

This development is viewed as a response to a meeting with Iain Graham, chairman and CEO of Graham Technology, who highlighted the difficulties that Scottish SMEs faced to the Scottish Executive earlier in the year.



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