PPN 013 (PA 2023)

PPN 013 Using standard contracts

In: Plan > Strategy and plan

Overview

This PPN outlines three standard contracts that may be used by central government departments, their executive agencies and non-departmental public bodies (collectively referred to as ‘in-scope organisations’) when awarding public contracts for goods and or services and or works, other than special regime contracts. These contracts are also available for use by any other public sector organisation as part of their commercial activity.

The standard contracts in the suite are:

  1. The Model Services Contract (MSC) for complex services procurements which typically require some form of formal dialogue or negotiation with potential suppliers. Use of the MSC is encouraged where the likely contract value (over the whole of the intended contract term) is £20m or more.
  2. The Mid-Tier Contract for goods and/or services procurements which are not particularly complex and do not require formal dialogue or negotiation with potential suppliers. The Mid-Tier Contract may be used where the likely contract value (over the whole of the intended contract term) is above relevant procurement thresholds, but falls below approximately £20m. It may also be used if a contract is more complex or critical, but below relevant procurement thresholds.
  3. The Short Form Contract for low value goods and/or services procurements where the likely contract value is below the relevant procurement threshold, unless the contract is more complex or critical. It can also be used for non-complex contracts above the relevant procurement threshold where it is proportionate and appropriate to do so.

Where in-scope organisations are purchasing bespoke goods or services, or goods or services that cannot be obtained through a suitable government commercial tool, such as a framework agreement, they should use one of the standard contracts described in sections 1 to 3 above, rather than create a bespoke contract.

Note: This PPN replaces PPN 08/23 for procurements commencing on or after 24 February 2025. It was subsequently updated in April 2025 to reflect amended guidance allowing use of the Short Form Contract above the relevant procurement thresholds, where appropriate.

Objective at this commercial stage

Where appropriate, standard contracts should be used by in-scope organisations, rather than bespoke contracts being created.

Key considerations at this commercial stage

In-scope organisations should:

  • ensure the procurement documents incorporate the use of an appropriate standard contract, rather than creating bespoke contracts
  • in particular, consideration should be given to using standard contracts where bespoke goods or services are purchased and cannot be facilitated by a suitable government framework