Guide
Selling to the departments with the highest SME targets
Some government departments have promised to spend far more with small firms than others. Those are the ones with a reason to make room for you. Here is who they are, how much of their work small firms already win, and how to get in front of them.
Last checked: 15 October 2026
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The departments with the most to deliver
Each department set its own target for direct spend with SMEs by 2027/28 under PPN 001. The highest, with the share of each department's 2025/26 contract awards that went to SMEs on our SME tracker:
| Department | SME spend target | Contracts won by SMEs, 2025/26 |
|---|---|---|
| Department for Science, Innovation and Technology | 40% | 48% |
| Department for Culture, Media and Sport | 33% | 32% |
| Cabinet Office | 30% | 46% |
| Department for Energy Security and Net Zero | 29% | Too few to show |
| Ministry of Housing, Communities and Local Government | 27.5% | 26% |
| HM Treasury | 22% | 42% |
| Ministry of Justice | 22% | 61% |
| Department for Environment, Food and Rural Affairs | 20.0% | 36% |
The two columns measure different things: a target is a share of spending; our figure is the share of contracts won. A department can give small firms many of its contracts and little of its money. Each department name links to its own action plan.
How to get in front of them
- Read the action plan first. Each says how the department will make buying easier for small firms: supplier days, published pipelines, simpler questions, lots sized for smaller suppliers, prompt payment. It tells you who to contact and what it is trying to change.
- Find the pipeline. Under section 93 of the Procurement Act 2023, a body expecting to pay more than £100m under its contracts in the coming financial year must publish a pipeline notice, within 56 days of the year starting, listing contracts over £2m it expects to advertise. Large departments publish these on Find a Tender.
- Answer market engagement. Preliminary market engagement notices are the department asking how to buy. Responding is how a small firm gets lots split and requirements set at a size it can meet.
- Get on the right frameworks. A lot of central government buying goes through Government Commercial Agency (formerly Crown Commercial Service) frameworks; digital and technology work often goes through G-Cloud and the digital marketplace. See framework agreements.
- Partner with a prime. Several departments also track spend reaching SMEs through their suppliers, so large contractors are looking for small subcontractors.
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Common questions
Selling to government departments
Which government department has the highest SME target?
The Department for Science, Innovation and Technology, which has set a target of 40% of its procurement spend going directly to SMEs. The Department for Culture, Media and Sport (33%) and the Cabinet Office (30%) follow.
How do I find a department's upcoming contracts?
Read its SME action plan, which says how it engages suppliers; look for its pipeline notice on Find a Tender (a body expecting to pay more than £100m under its contracts in the coming year must publish one within 56 days of the year starting, covering contracts over £2m); and watch Find a Tender and Contracts Finder for its notices, including preliminary market engagement.
Is it worth bidding for central government work as a small firm?
Increasingly. Departments are now measured on how much they spend with small firms, which gives them a reason to split work into lots, shorten contracts and simplify questions. Small firms already win a large share of central government's smaller contracts, even though the money is concentrated in a few large ones.