EU member states are in the process of implementing a 2009 EU directive dealing with procurement in the field of defence and security (the “Defence Directive”). The aim of the Defence Directive is to create a more flexible and transparent procurement system for contracting authorities and entities in the defence sector, whilst continuing to safeguard national security interests.

Importantly, the Defence Directive will also make it harder for civilian public bodies in the EU to use “national security” as a basis for exempting projects from the scope of the open procurement regime. As a result, the progress of the implementing regulations will be relevant not just to entities involved in purely military procurement, but also to those involved in the purchase or supply of non-military, but still sensitive or secure, goods and services.