Defence Contracts International’s Post

Commercial X is excited to launch a new set of SME-friendly terms and conditions (T&Cs). This will make it easier for small businesses to work with the MOD and use their innovative expertise to strengthen Britain’s defences. The new set builds on the original terms and conditions launched in 2023. They have been tested and advanced, based on feedback from both industry and MOD. The T&Cs will help all suppliers including small to medium-sized enterprises overcome barriers they might encounter with standard Defence terms and conditions, due to their complexity, size, relevance of default clauses and schedules, as well as the accessibility and language used. They have been co-created with industry SMEs and are a great example of how Commercial X works with industry to simplify procurement processes and drive innovation across Defence. The enhanced set of T&Cs features: ▪️A simplified ‘schedule 2’ to capture a specification and supplier response, omitting non-essential information. ▪️Simpler intellectual property rights (IPR) positions where the default ownership is with the supplier, enabling them to develop their technology in other environments and bring improvements back into the MOD engagement. ▪️Limits of liability that reflect contract value: instead of a default £5m liability, small suppliers now only sign up to a liability of 125 - 150% of contract value or £1m overall. ▪️A different security approach which requires suppliers to demonstrate they are working towards cyber essentials in a set timeframe, as opposed to a mandatory requirement to complete the certification. This is a significant step towards a new way of working with SMEs. Commercial X will be learning from the experience as we test how the new approach works for both the market and our commercial processes. Learn more about #CommercialX ➡️ https://lnkd.in/em5EV55U