Welcome to The Procurement Group
A procurement management firm for UK businesses since 2003.
Dependable & reliable costs management for your business.
For over 20 years we’ve been the premier one stop shop for support & advice on all aspects of managing UK business costs using the very best procurement management & cost reduction techniques.
This is business costs Cost Reduction done like you’d do it yourself.
As the top procurement management provider in London, we understand the importance of offering our clients a full suite of services when it comes to managing your indirect business costs as part of your very own, bespoke & unique to you, Cost Reduction programme.
Starting with a thorough understanding & analysis of all your current business costs arrangements, progressing to tendering, contract negotiation, implementation, supplier management and bill validation – our procurement management process will undertake the most detailed & comprehensive analysis of your current arrangements available, providing the basis for a sound Cost Reduction partnership and freeing up you and your teams time to focus on your key business drivers.
Get in touch today to find out how our procurement management process can help you and your team deliver your individually tailored Cost Reduction programme
Cost Reduction & Spend Optimisation
Our goal is to ensure that you get the best “bang for your buck” by utilising the very best procurement management technicques to deliver a Cost Reduction programme for your business costs.
By leveraging our extensive supplier relationships combined with thorough analysis of your current contractual arrangements and ideal operational “wish list” we will ensure that your business costs Cost Reduction project is a success – delivering the very best value for money to your business now, and going forward.
Sustainable, long term, delivered Cost Reduction of your business costs.
In contract supplier management is an often overlooked part of procurement management & Cost Reduction programmes for business costs in particular.
By viewing all of our relationships as partnerships we ensure that your supply partners are treated fairly and perform to the SLAs that your operations team require. Throughout the term of our engagement.
Let us use best practice procurement management techniques to manage your business costs suppliers as part of your business costs Cost Reduction programme so that you and your team can focus on the big issues in your business.
What do our clients say?
- 100% confirmed we deliver value for money,
- 85% rate our value proposition as excellent or very good
- 95% would happily recommend us to other Finance Directors
Book your free 17 minute consultation today
Speak to our procurement experts to find out if we’re the right procurement management partner to deliver your business costs Cost Reduction programme. Tell us your objectives and after 17 minutes we’ll give an honest, no holds barred answer about whether it’s worth having a more detailed 45 minute follow up.
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Procurement Management Blog
Wholesale prices reversed the trends of this week on Thursday and rose markedly for Day Ahead contracts and showed mixed signals, all calm, for all periods forward from March ’24.
We are seeing retail contracts at around 25p/kWh including standing charge on electricity, with unit only retail prices below 20p/kWh for night use. Gas contracts remain in the 7p-8p/kWh range.
In terms of generation, on the lower chart, this past week was very expensive at over £100/MWh driven by renewables being at the very low level of 26% vs fossil fuels at 46.2%. This is not untypical of winter generation and is what leads to such volatilty.
The outlook remains positive with price reductions still expected due to the strong stocks and free supply of LNG which is the primary fossil fuel used for generation.
|Gas: As the front month closed yesterday, prices rose in the prompt. A low Wind output combined with an increased heating demand due to the cold snap, supported the gains. The UK expects to receive 6 LNG cargoes by the 10th of December, keeping supplies healthy.
Power: Power prices increased throughout the near curve yesterday as Wind generation fell to 1.1GWs, leading to an increased demand for fuel-fired generation. Coal price increases and Carbon declines net neutral movement for the further out curve.
Oil – Oil prices rose yesterday following the announcement of further supply cuts from OPEC+ which are expected to last until at least the end of the first quarter of 2024. However African members of OPEC+ had raised their targets for production, providing scepticism within market participants.
Carbon (EU ETS): The ICE Dec-23 traded down to €70.80/t yesterday. Opening at €70.66/t this morning, the contract has seen a bullish trajectory and is currently trading at €71.59/t at the time of writing.
In summary prices are forecast to continue recent drops due to good stocks and plentiful supplies.
The only potential black cloud is any global macro-economic issue that happens which is presently unknown.
Wholesale prices continued to drop on Wednesday as the market fundamentals of good stock and plentiful supply dominate.
Future wholesale prices are now below their previous low point at the end of May/early June.
|Gas: NBP contracts continued to fall in price as the market proved fundamentally bearish. Day ahead contracts were pressured from LNG send out, however losses were capped by below average wind generation.
Power: Power contracts, once again, tracked their NBP counterparts yesterday, whilst further pressure was applied due to the falling carbon market. (For todays price outlook, as of last nights close, please see the table below)
Oil – Oil prices proved volatile throughout yesterday’s session as the market awaited the latest OPEC+ supply agreement which has been delayed since 26th November so far. Output from Kazakhstan oil fields has been reduced, it is likely that this reduction will continue into December.
Carbon (EU ETS): The ICE Dec-23 traded down to €71.02 /t yesterday. This morning the contract has opened steadily , at time of writing it is trading at €71.10/t.