New social value rules must avoid becoming a numbers game
Summary
The article argues that revised public procurement social value rules, including a minimum 20% weighting for contracts of £5m and above, could improve economic and community outcomes if implemented carefully. It warns that the forthcoming guidance must avoid reducing social value to easily counted metrics and should recognise regional supply chains, specialist SMEs and broader capability in infrastructure delivery.
Why it matters
Residential property surveyors may encounter these procurement and social value expectations on public sector projects, especially where housing, regeneration or local infrastructure is involved. The guidance could influence how value, locality and capability are assessed in project appraisal and procurement decisions.
Key points
- Social value will carry a minimum 20% weighting for qualifying public sector contracts.
- The article warns against over-reliance on simple metrics such as jobs, apprenticeships and training hours.
- Regional and national supply chains, including SMEs outside the immediate area, should still be recognised as contributing value.
- The forthcoming autumn guidance is expected to clarify how contracting authorities assess jobs in the 'relevant area'.
- Environmental considerations remain relevant through other requirements, despite the stronger jobs-and-skills focus.
This is an RPSA summary of a publicly available article. The full content remains with the original publisher.
