Municipal Elections
A New Cycle for
Public Procurement

The municipal elections in March reshuffled the deck in nearly 35,000 French municipalities. This renewal of local teams, beyond its democratic significance, always marks a pivotal moment for the economic activity of local areas — and particularly for building companies. Because behind the ballot box, local public procurement is being reshaped. This is a major issue: according to Banque des Territoires and Intercommunalités de France, local authorities alone account for 67% of public procurement, nearly half of which is carried out by municipalities. In 2023, this represented around €45 billion in local public purchases, a significant share of which was devoted to public buildings.

But this electoral cycle is taking place in a very different context from previous ones. Traditionally, the periods before and after municipal elections are accompanied by a temporary slowdown in investment, linked to the caution of outgoing executives and then to the time needed for new teams to settle in. This is a well-known phenomenon for companies, which often see their order books shrink before picking up again. This time, the equation is more complex. In addition to the political factor, there is a strained economic environment: local authorities’ investment capacity is deteriorating under the effect of increased budgetary constraints and declining resources. The Cour des Comptes therefore points to a clear slowdown in local investment, linked to this unstable financial situation.

For construction professionals, these developments are far from insignificant. Work on public buildings — schools, sports facilities, municipal heritage sites — accounts for a significant share of activity. Yet these projects are among the first adjustment variables in times of budgetary pressure. Another noteworthy development is the transformation of public procurement itself. Faced with the growing complexity of contracts and a lack of internal resources, the trend appears to be toward pooling resources, or even professionalizing purchasing at the intermunicipal level. This change could, in the long term, bring greater structure to markets, but also alter access to them for SMEs and craft businesses.

Should we therefore expect a lasting downturn? That is by no means certain. These municipal elections also open a new investment cycle, with teams elected for six — or even seven — years and encouraged to launch their projects quickly. There are many opportunities: energy renovation, heritage maintenance, climate adaptation, bringing public buildings up to standard... All these are projects for which roofing companies can highlight their strengths, as the roof remains, now as ever, a strategic component.

Brice Alexandre Roboam

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