Deputy First Minister Nicola Sturgeon has confirmed more small businesses are securing public contracts through Public Contracts Scotland (PCS).

The latest PCS figures reveal that 80% of 13,308 suppliers were awarded contracts through the online portal in 2012, were based in Scotland.

The figures also showed 68% of contracts were awarded to Scottish-based small or medium sized companies (SMEs) – an increase of 12% since 2010.

Scotland's public bodies spend more than £9bn each year on procurement, with construction accounting for more than 25% of the total.

Ms Sturgeon unveiled the PCS annual report during a visit to the Scottish Crime Campus at Gartcosh as she mentioned that of the 300 workers on site, 87% were from within a 25-mile radius.


She said: "As these statistics illustrate, public sector contracts are of great significance to Scottish businesses and play an important role in building a wealthier and more successful nation.

"Last year saw substantial changes to Public Contracts Scotland that will further improve and simplify the ways businesses deal with the public sector.

"It is testament to the improvements made that we are now in a position where more small companies in Scotland than ever before are winning business with the Scottish public sector."

Pat Shannon, who is Managing Director for Glasgow-based Craig and Buchanan, was one of several local SMEs to win a contract within the new Campus.

He said: "We have had success through PCS with other public sector work. This Balfour Beatty contract is vital at a time when the construction industry is still operating in a challenging economic climate.

"The Scottish Crime Campus contract is worth £806,000 to us, which is significant value for a business of our size. We normally take on two apprentices a year. However, thanks to the Balfour Beatty contract, we have employed an additional draughtsperson."

(JP/CD)