PPN 022 (PA 2023)

PPN 022 Procuring Steel in Government Contracts

In: Plan > Strategy and plan

Overview

This PPN applies to all central government departments, executive agencies and non-departmental public bodies when awarding public contracts for goods and / or services and / or works, and including special regime contracts, where steel is being procured directly or indirectly (collectively referred to as ‘in-scope organisations’).

Other public sector contracting authorities are encouraged to consider applying the approach set out in this PPN and guidance, as appropriate.

This PPN sets out a number of existing policies, tools and methodologies (Green Book, National Procurement Policy Statement, Construction Playbook and Social Value Model) that in-scope organisations should consider and apply (where appropriate) when designing relevant steel procurements. A relevant steel procurement is a regulated procurement where steel is being procured directly or indirectly.

The PPN also introduces new policy measures for all new relevant steel procurements. From 1 September 2025 in-scope organisations are required to:

  1. Consult UK Steel’s Digital Catalogue prior to design and procurement decisions being made. Include a contract clause which extends this obligation to Tier 1 contractors and their subcontractors (where relevant).
  2. Consider if the national security exemption in paragraph 25 of Schedule 2 to the Procurement Act 2023 is relevant to the procurement and apply as appropriate.

When applying this PPN, in-scope organisations and other public sector contracting authorities (where appropriate), must comply with their legal obligations, in particular the obligation not to discriminate against treaty state suppliers or to treat suppliers differently without justification.

This PPN also sets out the scope of reporting requirements for the steel pipeline and actuals data.

Note: This PPN replaces PPN 010.

Objective at this commercial stage

In scope organisations should consider the legislative, project appraisal and commercial policy landscape relevant to steel procurements. This includes developing strong business cases that are aligned with government priorities and ensuring the key objectives identified in the business case (including the strategic and economic case) are applied through all policy and procurement design stages.

Key considerations at this commercial stage

In-scope organisations should:

  • consider the Green Book, the National Procurement Policy Statement, the Construction Playbook and the Social Value Model when designing relevant steel procurements and apply them in accordance with the instructions set out in each case.
  • consider if the national security exemption in Schedule 2 to the Procurement Act 2023 is relevant to the procurement and apply as appropriate
  • consult UK Steel’s Digital Catalogue and include a contract clause which extends this obligation to Tier 1 contractors and their subcontractors (where relevant)
  • ensure responsible and sustainable steel production
  • ensure that the steel origin data requirement is included in the contract and subcontracts.