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The UK government has introduced new procurement rules that put domestic steel at the front of public contract decisions, aiming to strengthen national security and protect critical supply chains. Under the new guidance, steel, shipbuilding, artificial intelligence, and energy infrastructure have been classified as strategic sectors, with departments encouraged to favour British suppliers when needed. Public bodies will now be expected to use UK-made steel or explain why overseas sourcing is necessary. The policy is designed to support local jobs, preserve industrial capacity, and make government spending work harder for British manufacturing. A new Public Interest Test for contracts above £1 million will also push departments to assess whether services should stay in-house, marking a broader shift in procurement strategy.
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