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EU
Procurement thresholds for 2026-2027
Contract thresholds for the next two years have been published, as we outline here: Public Procurement Thresholds for 2026-2027.
Review of Procurement Directives
The European Commission is consulting until 24 January 2026 to inform the review of the Public Procurement Directives. The Commission wishes to modernise and simplify the rules and align them with strategic priorities, including strategic autonomy and sustainability. A legislative proposal is expected in Q2 2026.
The Commission published its evaluation of the Directives so far . It finds that the Directives did not improve legal clarity or flexibility and new sector-specific rules added complexity. Transparency improved and contract values doubled, but corruption risks remain. Competition is mixed: average bids per tender are down, but large contracts still attract strong interest, and SMEs win 71% of contracts. Direct cross-border participation in the EU remains limited. Green, social, and innovative procurement is progressing, but unevenly across the EU.
Defence procurement
Political agreement was reached on a proposed Regulation establishing the European Defence Industry Programme and a framework of measures to ensure the availability and supply of defence products. The intent is to establish a budget and lay down measures to support defence industry readiness through strengthening the European Defence Technological and Industrial Base and contributing to the recovery, reconstruction and modernisation of the Ukraine Defence Technological and Industrial Base. The Regulation includes provisions on common procurement actions. Further information is available here: European Defence Industry Programme: Council and Parliament reach provisional agreement.
Separately, the European Commission was authorised to open negotiations with the UK and Canada for agreements under Regulation (EU) 2025/1106. That Regulation provides for the participation of entities in certain non-EU countries in procurements supported through Reinforcement of the European Defence Industry Instrument.
IRELAND
Discovery orders in a procurement challenge
The Court of Appeal heard an application to vary High Court discovery orders in a procurement challenge brought by Kerrigan Sheanon Newman Unlimited Company against a decision by the Sustainable Energy Authority of Ireland to award a contract relating to surveys, building energy ratings, and inspections for domestic and non-domestic properties. The applicant is an unsuccessful tenderer whose grounds of challenge include that the winning bid's price was abnormally low, that there were errors with the selection and award criteria, and that there was a failure to provide reasons.
The Court of Appeal agreed to grant discovery of documents that the applicant wishes to review to support an argument that the methodology in the winning tender is contrary to provisions in the tender documents and/or raises questions around unequal treatment. These documents will be accessible to members of a confidentiality ring.
The applicant was unsuccessful in securing the inclusion of a company director in the confidentiality ring. Typically, the parties' legal advisors and, in appropriate circumstances, experts are included in confidentiality rings. In most cases, the purpose of a confidentiality ring would be undermined if its clients also had access to the discovery documentation. It had not been shown that there was any aspect of the documentation that required the input of the director. Any technical aspect of the relevant business could be explained to the lawyers and the expert by the director, without him being part of the confidentiality ring.
This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.
