Public procurement is built on one core idea: competition creates better value. But across Europe, that principle is weakening.
A growing share of tenders now attract only one bidder, meaning contracts are awarded without real competition. According to the European Court of Auditors (ECA), the proportion of single-bid tenders rose from 23.5 % in 2011 to 41.8 % in 2021.
This isn’t a small statistical blip. It signals a deeper problem: barriers, inefficiencies, and disinterest that keep suppliers, especially SMEs, from participating.
When tenders go uncontested, buyers lose leverage, innovation stalls, and citizens ultimately pay more. The system still functions, but it’s not working as intended.
So, what does the data really say about competition in European procurement and what’s behind this steady rise in single bidding?
Let’s look at the numbers.
What the numbers say about competition in public procurement?
The data paints a consistent picture across Europe: competition in tenders is declining.
The European Court of Auditors found that, on average, four out of ten EU tenders now receive only one bid. In some countries, that figure is even higher, over 50 % in parts of Central and Eastern Europe.
The OECD reports similar trends globally: the median number of bidders per contract is shrinking, a signal that administrative burden and complex rules discourage participation.
Meanwhile, the EU’s own market analysis shows that SMEs make up 99 % of businesses, yet capture far less of total contract value than large firms.
Fewer bidders mean fewer choices for buyers and weaker outcomes for taxpayers.
But data only tells part of the story. To understand why tenders attract so few bidders, we need to look at what’s keeping suppliers away.
Why so many tenders attract only one bidder?
The rise in single-bid tenders isn’t random. It’s the result of a system that often makes it too difficult or too costly for suppliers to participate, especially smaller ones.
Here are the main reasons tenders fail to attract competition:
1. Heavy administrative burden
Tendering still involves dozens of forms, supporting documents, and declarations. For large suppliers this is routine; for SMEs, it’s a serious time cost. Even with the European Single Procurement Document (ESPD), paperwork remains a major barrier.
2. Fragmented publication system
Across the EU, suppliers must track over 2,000 tender portals. Opportunities are easy to miss, and most SMEs simply don’t have the resources to monitor them all.
3. Overly specific requirements
Some tenders are written with specifications that match an existing supplier almost exactly. Whether intentional or not, this discourages new entrants and narrows the field.
4. Unrealistic deadlines and budgets
Short submission windows and underpriced projects deter participation. Many suppliers skip tenders they can’t prepare for properly.
5. Lack of feedback or trust
Suppliers who invest effort in bids but never receive feedback often stop participating. Without clear evaluation transparency, they see little reason to keep trying.
Each of these barriers compounds the others, making it harder for SMEs to join and for buyers to get diverse offers.
And the result is more single-bid tenders, fewer new entrants, and weaker competition.
Next, let’s look at what that costs Europe, in money, innovation, and public trust.
The cost of single bidding
Single bidding isn’t just a statistic… it’s a warning sign that the system is underperforming. When tenders attract only one bidder, competition disappears, and everyone pays the price.
According to the OECD, lack of competition in public procurement can increase costs by 20–30%, as buyers lose negotiating power and suppliers face little pressure to innovate.
For the EU’s €2 trillion procurement market, even a 10 % efficiency loss equals hundreds of billions of euros in wasted value each year.
The consequences go beyond money:
- Less innovation - new suppliers stay out of the market.
- Unequal access - SMEs can’t compete fairly with incumbents.
- Lower trust - citizens see procurement as bureaucratic, not strategic.
But not every country faces this problem equally. Some have found ways to keep their markets open and competitive.
Let’s look at a few examples of where procurement works better.
Which countries are doing better and why?
Across the EU, some countries manage to attract more bidders per tender, proving that competition can be restored with the right approach.
- Finland uses centralised e-procurement and clear, searchable notices. Buyers are encouraged to divide contracts into smaller lots, improving SME access.
- France has enforced lotting and introduced training for public buyers to design SME-friendly tenders (European Commission).
- Lithuania increased competition by simplifying documentation and using user-friendly e-platforms, raising average bidders per tender.
- Germany provides pre-market consultations that help buyers shape more realistic scopes and budgets.
The pattern is clear: when buyers make access easier, competition improves.
These examples prove that the problem isn’t structural, it’s practical.
And while policy takes time, technology can accelerate this change.
Let’s explore what needs to shift to rebuild competition across the EU.
What needs to change to rebuild competition?
Europe doesn’t need more tenders - it needs better access to them. The goal should be to make participation simple, transparent, and worthwhile for every capable supplier.
Here’s what would make the biggest difference:
1. Simplify tender access
Procurement shouldn’t require tracking thousands of portals. Aggregated, machine-readable data should make it easy for suppliers to find relevant tenders in one place.
2. Standardise and open the data
Buyers should publish structured information: clear deadlines, contact details, and criteria, so platforms and suppliers can analyse it quickly.
3. Provide feedback loops
Suppliers who understand why they lost are more likely to try again. Transparent scoring and debriefs build trust and participation.
4. Make cross-border participation easier
Language, registration, and documentation barriers still deter many SMEs. Translation and unified digital IDs would help level the field.
These fixes require coordination, but suppliers can’t wait for perfect policy. They need tools that make tendering efficient now.
That’s where supplier-focused platforms already make an impact.
Procurement works when competition works
Single bidding isn’t just a symptom, it’s a signal. When tenders attract only one bidder, public procurement stops working as intended. Buyers lose leverage, suppliers lose trust, and taxpayers lose value.
Europe doesn’t have a shortage of capable businesses. It has a shortage of access. Complexity, fragmentation, and lack of transparency keep many suppliers, especially SMEs, out of the game.
Fixing this means focusing on what procurement was meant to achieve: open, fair competition that delivers innovation and better outcomes for everyone.
Until that happens, platforms that make tendering simpler, more transparent, and more accessible will bridge the gap, bringing more suppliers back into the process and strengthening the system overall.
Because public procurement only works when more than one bidder shows up.
