Topic 03 · Financial year 2024/25
Who the UK government buys from
Spent with suppliers
£400bn
≈36% of all public spending
Suppliers
200k
≈200,000 organisations
Top 10 companies
≈9%
of all supplier spend
Spend with SMEs
20%
Government target: £1 in every £3 with small businesses
Nine areas of government spend
- Health & Care£92bn23%
- Defence£34bn8.5%
- Digital & Tech£26bn6.5%
- Transport£48bn12%
- Justice£18bn4.5%
- Welfare Services£12bn3%
- Education£22bn5.5%
- Housing & Facilities£30bn7.5%
- Consulting£8bn2%
Annual contract and procurement spend, 2024/25 basis.
Supplier league table
The 25 largest companies by annual public-sector revenue, and what they supply.
- 1BAE SystemsSubmarines, warships, combat aircraft, munitions and cyber servicesDefence£6.6bn
- 2Rolls-RoyceNuclear submarine reactors, aero engines and power systemsDefence£3.4bn
- 3AstraZenecaBranded medicines, oncology and respiratory treatments, vaccinesHealth & Care£3.1bn
- 4GSKVaccines, respiratory and HIV medicinesHealth & Care£2.6bn
- 5Babcock InternationalWarship and submarine refit, dockyards, training and fleet supportDefence£2.6bn
- 6Pfizer UKVaccines, oncology and speciality medicinesHealth & Care£2.4bn
- 7Balfour BeattyRail electrification, highways construction and civil engineeringTransport£2.4bn
- 8Alliance Healthcare / CencoraPharmaceutical wholesale and distribution to hospitals and pharmaciesHealth & Care£2.2bn
- 9MicrosoftEnterprise software, Azure cloud, security and productivity licencesDigital & Tech£2bn
- 10Leonardo UKHelicopters, radar, electronic warfare and sensorsDefence£1.6bn
- 11Skanska UKHighways, tunnels and station constructionTransport£1.6bn
- 12Spire HealthcareNHS-funded elective surgery, diagnostics and outpatient capacityHealth & Care£1.4bn
- 13MBDA UKComplex weapons and missile systemsDefence£1.4bn
- 14Amazon Web ServicesCloud hosting, storage and machine learning servicesDigital & Tech£1.4bn
- 15CostainRoad and rail engineering, programme managementTransport£1.4bn
- 16BT GroupNetworks, emergency services network, telephony and connectivityDigital & Tech£1.3bn
- 17AmeyHighways maintenance, rail infrastructure servicesTransport£1.3bn
- 18SercoPrison operation, prisoner escorting, electronic monitoring and asylum accommodationJustice£1.3bn
- 19Veolia UKWaste collection, recycling, energy-from-waste and water servicesHousing & Facilities£1.3bn
- 20Lockheed Martin UKF-35 support, weapons integration and logistics systemsDefence£1.2bn
- 21Alstom UKTrains, signalling systems and fleet maintenanceTransport£1.2bn
- 22Thales UKSonar, optronics, communications and air defenceDefence£1.1bn
- 23Siemens MobilitySignalling, traffic systems and train fleetsTransport£1.1bn
- 24Ramsay Health Care UKNHS elective surgery, orthopaedics and diagnosticsHealth & Care£1bn
- 25Suez Recycling and Recovery UKWaste treatment, recycling and collection servicesHousing & Facilities£1bn
How it is bought
Frameworks
Most spend runs through Crown Commercial Service agreements rather than one-off tenders.
Concentration
Top-heavy
A small group of strategic suppliers holds contracts across several departments.
Per household
£1111
a year across 30.0 million households
Source link check
Data last updated 20 Jun 2026, 00:00
Supplier spend sits inside the £77.3bn a month of government spending, funded by tax receipts.