Supplier Diversity in the UK: A Movement Gaining Momentum Through Better Data and Deeper Insights 

The landscape of supplier diversity in the UK is evolving rapidly. What was once seen as a corporate “nice-to-have” is now recognized as a strategic imperative for driving competitiveness, resilience, and inclusive economic growth. At the forefront of this shift is MSDUK, the UK’s leading certification body for ethnic minority businesses—and a proud partner of Supplier.io. 

In a recent webinar hosted by Supplier.io’s VP of Marketing Daniel Dorr and MSDUK CEO Reshma Sheikh, the conversation revealed key trends, challenges, and opportunities in the UK’s supplier diversity journey. 

A unique but urgent imperative 

Unlike the U.S., where supplier diversity mandates have long driven corporate action, the UK has no such legal requirements. “But that doesn’t mean there’s no momentum,” said Sheikh. “We’ve seen a real shift. Close to 40% of our members are now UK public sector, government bodies, and corporations, not just global U.S. firms operating here.” 

She highlighted the importance of the UK’s Social Value Act and the new Procurement Act, which incorporate social impact into public procurement with a weighting of up to 20% in RFPs. These legal frameworks are helping elevate inclusive procurement as a business necessity rather than a checkbox exercise. 

The numbers tell a compelling story 

One in four people in the UK identify as an ethnic minority, underscoring the growing importance of creating equitable economic opportunities. According to The Hackett Group’s 2025 Supplier Diversity Study, 65% of procurement leaders report that supplier diversity programs improve supply chain competitiveness, while 48% say it helps win business, and 66% of consumers are willing to pay a premium for socially responsible products. 

Yet challenges remain. The Hackett data reveals that finding qualified diverse suppliers is the top barrier, especially across Europe. That’s where Supplier.io’s Supplier Intelligence Platform plays a pivotal role—delivering the industry’s largest and most accurate supplier database, powered by over 350 million insights. 

“Data is the foundation of everything”

Sheikh emphasized that effective supplier diversity efforts must be rooted in credible data. “You can’t measure what you don’t know. And you can’t engage who you can’t find,” she explained.  

“That’s why partnerships with platforms like Supplier.io are so valuable. They give us visibility and allow us to support buyers and suppliers alike.” 

With Supplier.io’s Data Enrichment capabilities, procurement teams can identify up to 20% more diverse suppliers in their current network—suppliers that often go unnoticed without the right data tools. And with regular updates to over 1 million supplier records each month, businesses can trust they’re working with the most accurate information available. 

Local nuance matters 

One critical takeaway from the webinar: international supplier diversity programs must be tailored to local contexts. As Sheikh noted, “You cannot do a cut-and-paste from the U.S. to the UK. We use different language, have different legal frameworks, and even define diversity differently.” In France, for example, ethnic minority tracking is restricted, requiring programs to focus on broader concepts like inclusive procurement. 

This makes localized data and region-specific certifications essential. Supplier.io’s global coverage includes suppliers in 39 European countries, enabling UK-based programs to grow responsibly with cultural and legal sensitivity. 

A vision for the future 

As global supply chains face heightened risks from inflation to geopolitical tensions, alternate sourcing strategies that include small, local, and diverse suppliers are emerging as a critical tool for resilience. Supplier.io’s platform helps organizations adapt by identifying viable suppliers based on geography, category, risk profile, and sustainability ratings. 

And with innovations like the Buyer Search Insights dashboard, Supplier.io is also empowering suppliers to take control of their visibility, transforming how they appear in buyer searches and helping them refine their positioning to grow their business. 

In a world demanding greater accountability and inclusion, supplier diversity is no longer a niche initiative. It’s a strategic lever for building stronger businesses and communities. And with accurate data and meaningful partnerships, the UK is well-positioned to lead the way. 

Want to see how Supplier.io can help you efffortlessly track, analyze, and report your procurement spend? Book a demo with one of our experts today.