Overview
This PPN applies to procurements covered by the Public Contracts Regulations 2015 (PCR 2015), and applies to all central government departments, their executive agencies and non-departmental public bodies (collectively referred to as 'in-scope organisations').
This PPN launches a model to deliver social value through government’s commercial activities, noting that in-scope organisations should evaluate social value in all central government procurement where the requirements are related and proportionate to the subject-matter of the contract. This aligns with their obligations under Section 1 of the Public Service (Social Value) Act 2012.
The social value model (the ‘model’) establishes common commercial objectives for social value; which focus on a set of strategic themes and related policy outcomes that reflect agreed cross-government priorities. From this menu, commercial teams should select objectives that are relevant and proportionate to their procurement.
Application of the model will be mandatory in central government but commercial teams, within in-scope organisations, retain flexibility in deciding which of the outcomes should be applied to their particular procurement to ensure relevance and proportionality.
Detailed guidance on how to use the model, including a menu of social value options, is available in the PPN and accompanying guide to which in-scope organisations should refer.
Objective at this commercial stage
Relevant teams should be familiarised with the social value model, including the menu of priority policy themes and outcomes which can be incorporated into procurement processes.
Key considerations at this commercial stage
In-scope organisations should:
- build awareness within the organisation by ensuring that relevant teams are familiar with the social value model
- consider directing those involved in commercial activity to the introductory guide to the Public Services (Social Value) Act 2012 and the Public Sector Equality Duty and, ensure those involved in commercial activity complete the e-learning training on social value
- review the Model Award Criteria and Model Evaluation Questions for relevance, proportionality and to ensure equal treatment and non-discrimination
- consider whether the use of the Model Award Criteria in combination with reporting metrics can be used to formulate social value key performance indicators (KPIs).
Legal framework
The PPN should be read alongside the relevant parts of the legal framework, including but not limited to, the following provisions of the Public Contracts Regulations 2015 (which may be particularly relevant to the consideration of this PPN):
- Regulation 18: Principles of procurement
- Regulation 56: General principles of awarding contracts
- Regulation 67: Contract award criteria
- Regulation 70: Conditions for performance of contracts
Additional support and guidance
Make sure you:
- read the PPN and any supporting implementation guidance
- seek legal and commercial advice in the context of specific procurements
