Social value
Social value is the wider economic, social and environmental benefit a public contract can create alongside its immediate deliverables. Authorities should define relevant, proportionate outcomes and assess them only through the published procurement documents.
Reviewed
What social value means
Social value captures benefits connected with delivering a contract, such as local employment, apprenticeships, community cohesion, reduced emissions or supply-chain opportunities. It should relate to the contract and be capable of being delivered and monitored. It is not a licence to require unrelated local preference or vague charitable promises.
For central government in-scope procurements under the Procurement Act 2023, PPN 002 and its Social Value Model set policy requirements for relevant and proportionate contracts, including a minimum weighting or equivalent measurement where the note applies. The model became mandatory for procurements commenced under the Act on or after 1 October 2025, subject to its scope and transition. The Public Services (Social Value) Act 2012 also creates planning-stage duties for covered English and Welsh public authorities, but it does not make one model universal.
How suppliers should answer
Read the specific outcome, question, scoring criteria and contract reporting requirement. Make commitments measurable, time-bound and resourced. Explain baselines, delivery partners, locations and evidence rather than listing general corporate initiatives. Check whether the commitment becomes a contract term, KPI or performance indicator, because a scored promise can be enforceable.
For example, a construction tender might ask for apprenticeships and local SME spend tied to the works. A bidder should give numbers, dates, responsible people and reporting method that fit the project. If the authority asks for social value at framework stage and call-off stage, avoid repeating the same commitment without explaining which outcomes are assessed at each stage.