Government and Public Sector news, February 2026

Legal insights, news and events from DWF's Government and Public Sector team delivered monthly to your inbox.

DWF monthly insight:

DWF successfully advises Dairy UK in Supreme Court victory against Oatly: DWF has advised Dairy UK on its successful defence of a Supreme Court appeal brought by Oatly AB, culminating in a landmark judgment handed down on 11 February 2026. View >

UK public procurement: Six things to look out for in 2026: 2026 will be another important year for public procurement law in the UK. In this article, we look at six key areas we believe will shape procurement law and practice during 2026. View >

New streamlined routes announced for arts and culture, and community and regeneration: What are the key requirements and benefits and how can public authorities rely on them for future use? Public authorities now have new options for awarding compliant subsidies in arts and culture, and community and regeneration respectively. The coverage is wide and (for example) includes subsidies for local infrastructure and new housing up to a value of £12m.  This offers alternative means of justification to the otherwise default setting of applying the Subsidy Control Principles from Schedule 1 of the Subsidy Control Act 2022. However, the new Streamlined Subsidy Schemes also come with multiple conditions and “strings attached”. This article sets out the key requirements for safe and effective use and the practical value in doing so as against alternative means. View >

Understanding the Scottish cross-border public procurement regulations: In this article, we explore the new Scottish Regulations, in force as of 20 December 2025, which arise from the introduction of the Procurement Act 2023 and seek to address uncertainties where Scottish and UK procurement regimes intersect. View >

DWF boosts public sector litigation offering with new partner appointment: DWF has welcomed Ed Williams as a partner in its disputes practice in Leeds, strengthening the business’ public sector dispute resolution offering. View >

Failure to prevent the facilitation of tax evasion: A new era of enforcement? The landscape of corporate criminal liability in the UK has shifted with the introduction and recent enforcement of the "failure to prevent the facilitation of tax evasion" offences under the Criminal Finances Act 2017. In this article, our experts provide practical guidance on how this change will impact businesses and the steps they should take now. View >

Four-day working weeks: Practical considerations for public sector employers: Following the UK Government's recent warning to English councils against adopting a four-day week, this article explores four-day weeks and provides public sector employers with an overview of the legal and practical implications of a four-day week. View >

Key changes to EMI: Extended holding period and broader access: The most significant development to the Enterprise Management Incentive regime in the UK Government’s 2025 reforms is the extension of the maximum period for holding EMI qualifying options from 10 to 15 years. In this article, we discuss how this change, effective from 6 April 2026, marks a fundamental shift in how companies and employees can plan for long-term growth and value realisation, and offer practical steps for companies. View >

Failure to prevent fraud – is your business doing enough? The new corporate criminal offence of failure to prevent fraud came into force on 1 September 2025. This is the third failure to prevent offence after bribery and the facilitation of tax evasion. We are aware that many businesses rushed to implement policies and procedures ahead of its introduction. Now that the dust has settled, alongside HMRC breaking new ground in prosecuting its first failure to prevent the facilitation of tax evasion case, businesses may wish to step back, take stock and consider whether the business is sufficiently protected from being investigated and ultimately charged with a corporate criminal offence, be that for failing to prevent bribery, fraud or tax evasion.

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Case update: URE Energy Limited v Notting Hill Genesis and Waiver by Election: When a commercial relationship deteriorates, tough questions can arise as termination rights and triggers come into focus. In this case review from our commercial experts the decision offers useful insight in navigating the termination maze. View >

A new era in employment law: The Employment Rights Act 2025 timeline: Employment law is undergoing one of the most extensive periods of reform in recent decades, with an extensive programme of legislative changes set to reshape the employment landscape. As new duties, protections and compliance requirements come into force in stages, it is vital for employers to understand not only what is changing, but when each development will take effect. This timeline provides an overview of the key milestones, helping organisations anticipate their obligations, prepare for operational impacts, and navigate the transition with confidence. View >

Supreme Court clarifies rules for deduction of VAT input tax on share sales: This recent decision brings welcome clarity (but also renewed caution) for corporate groups seeking to maximise VAT recovery in relation to their dealings with subsidiaries. This article explains some of the complexities encountered in the judgment and how our tax experts can help businesses avoid falling foul of the rules. View >

Other news:

Department for Business and Trade: New guidance documents released following the introduction of new streamlined routes under the Subsidy Control Act 2022. View >

Ministry of Housing, Communities and Local Government: Thousands more families to get warm, secure social homes, as the UK Government unveils a new social and affordable housing package. View >

Scotland Office: Five Scottish regions to benefit from a share of a new £140 million UK Government Local Growth Fund. View >

Scottish Government: Gigabit boost for Dumfries & Galloway with £18 million investment to connect 12,500 premises. View >

Upcoming Webinars 

Look out for details of our upcoming webinars and events:

The Procurement Act – One Year On – 24 February 2026

The Procurement Act 2023 introduced significant changes to public procurement processes, reshaping how contracting authorities and suppliers operate. This session will provide a comprehensive review of the key issues and challenges encountered to date, drawing on practical experience. The webinar will offer guidance for both contracting authorities and suppliers, helping you navigate the evolving landscape and prepare for future developments under the Procurement Act 2023.

Registration link >

Sponsorship and Skilled Worker Visas for Public Sector Employers – 26 February 2026

In this webinar, we will discuss:

• The latest changes to the UK’s sponsorship and skilled worker visa rules, how they impact public sector employers and what to expect for the remainder of 2026;
• The key compliance challenges for public sector sponsor licence holders and how to prepare for a compliance check; and
• The key issues facing skilled worker visa holders in 2026.

Registration link >

Contract Modifications under the Procurement Act 2023 – 12 March 2026

The Procurement Act 2023 introduced new rules and obligations for contract modifications, significantly impacting how contracting authorities and suppliers manage changes post-award. This webinar will provide a practical overview of the legal framework, compliance requirements, and strategic considerations for implementing modifications under the Procurement Act 2023.

Registration link >

Concluding Effective Grant Funding Agreements – 17 March 2026

In this webinar we will explore the core contents of a grant funding agreement and how concepts like outputs, eligible costs, security, overage and clawback are most commonly secured. We shall also cover practical issues including public authority powers for completion and alignment with practical Subsidy Control issues for concluding the contract, publications in the national subsidy database and protection of the relevant Subsidy Control solution.

Registration link >

2025’s Top Public Sector Webinars — in case you missed them:

Conducting a lawful evaluation in accordance with the Procurement Act 2023

This webinar provided early practical guidance on how to conduct a lawful evaluation of bids that satisfy the requirements of the 2023 Act. The webinar covered: evaluation principles; keeping records to allow completion of assessment summaries; how to conduct a lawful clarification of bids; and evaluation dos and don’ts. 

Preparing Contracts that comply with the requirements of the Procurement Act 2023

Our experts explained how the 2023 Act requires specific amendments to termination, KPIs, variation/modification, among other provisions. It provided practical guidance by referencing the drafting updates to the CCS Model Service Contracts and other template contracts. 

Preparing for the Procurement Act 2023

This webinar provided practical advice on the main impacts that affect both Contracting Authorities and economic operators.

Subsidy Schemes

This webinar addressed the specific issue of subsidy schemes as flowing from the Subsidy Control Act 2022. It considered specifically the situations that lend themselves to delivery by creation of subsidy schemes, what are the core features a subsidy must have and what sort of audit trail needs to be in place to show how the Subsidy Control Principles have been properly considered in drafting the terms and conditions of the scheme. It also considered subsidy schemes requiring referrals to the CMA and how to secure best results from such CMA referrals.

Delivery of regeneration projects

In this webinar, our experts provided advice on the discussion surrounding “live projects” and offered practical solutions to address legal and commercial challenges. This webinar covered:

• Ensuring the right public law powers were relied upon to deliver a regeneration project.

• Meeting consultation requirements.

• Satisfying Subsidy Control issues to attract and lawfully spend grant funding.

• Addressing Real Estate issues to ensure projects were development-ready.

• Satisfying public procurement requirements, including when a transaction could be categorised as a Land Deal and exempt from the Regulations.