Key fact: Procurement Policy Note 06/20 requires all central government contracts to include at least 10% social value weighting in the evaluation. Many NHS, council and devolved administration contracts use higher weightings. A strong social value response can compensate for being slightly more expensive than a competitor.
What is social value in procurement?
Social value refers to the wider benefits a contract delivers beyond its primary outputs — local employment, apprenticeships, SME supply chain spend, carbon reduction, community volunteering, and more. The Public Services (Social Value) Act 2012 requires public sector buyers to consider how their procurement can improve economic, social and environmental wellbeing.
Procurement Policy Note 06/20, introduced in 2020, went further — requiring central government buyers to include social value as a scored, weighted element of the evaluation, with a minimum 10% weighting. The Procurement Act 2023 has embedded social value considerations further into the procurement lifecycle.
The five Social Value Model themes
COVID-19 Recovery
Helping those hardest hit by the pandemic — long-term unemployed, those with health conditions, people from disadvantaged backgrounds. Suppliers can commit to employing people from these groups or supporting local recovery.
Tackling Economic Inequality
Creating new jobs and skills, supporting businesses to grow and innovate, and improving supply chain resilience. Commitments include apprenticeships, local spend targets, and SME subcontracting.
Fighting Climate Change
Net zero commitments, reducing carbon emissions in contract delivery, supporting environmental improvements. Includes carbon reporting, electric fleets, sustainable supply chains.
Equal Opportunity
Reducing inequality in employment — supporting people with disabilities, ethnic minorities, those leaving care or the criminal justice system. Commitments include diversity reporting and inclusive hiring practices.
Wellbeing
Improving health, wellbeing and resilience — both for the buyer's staff and the wider community. Includes mental health support, volunteering, and community investment.
How to write a strong social value response
Read the evaluation criteria carefully
Each tender specifies which Social Value Model themes and outcomes apply. Focus your response on what the buyer has specified — not general good intentions. Buyers score against specific outcomes, so align your commitments to those outcomes.
Make specific, quantified commitments
Vague commitments score poorly. Instead of "we will support local employment", say "we commit to recruiting 2 apprentices from the local area within 6 months of contract start and maintaining them for the contract duration". Buyers can measure this.
Demonstrate how you will deliver
Explain the mechanism — not just the outcome. How will you find local recruits? Which training provider? How will carbon reduction be achieved? What reporting will you provide? Delivery credibility matters.
Evidence past delivery
Include case studies from previous contracts where you delivered social value commitments. Specific examples with outcomes — "on our contract with X, we employed 4 apprentices and 3 are still employed 2 years later" — are far more compelling than claims alone.
Show how you will report and measure
Buyers increasingly require ongoing social value reporting during the contract. Commit to a specific reporting cadence and the metrics you will use. This demonstrates maturity and accountability.
Common social value commitments by sector
Construction
Local employment ratio, apprenticeship hours per £100k spend, SME subcontract spend, embodied carbon reduction, community liaison.
IT & Digital
Digital skills training, diversity in tech hiring, carbon-neutral hosting, open source contributions, local tech SME partnerships.
Facilities Management
Living wage commitment, local workforce recruitment, green cleaning products, carbon-neutral fleet, community volunteering days.
Professional Services
Pro bono support for charities or SMEs, diverse hiring practices, carbon reporting, local spend targets, mentoring programmes.
Frequently asked questions
What is social value in procurement?
Social value in procurement refers to the wider economic, social and environmental benefits that a contract delivers beyond the direct outputs. Under the Public Services (Social Value) Act 2012 and the Procurement Policy Note 06/20, all central government contracts must consider how procurement can improve social, environmental and economic wellbeing. Social value is typically evaluated as a scored element of the tender, worth 10% or more of the overall evaluation weighting.
How much is social value worth in a tender evaluation?
For central government contracts, Procurement Policy Note 06/20 requires a minimum 10% weighting for social value in the evaluation. Many NHS and local authority contracts use higher weightings — 15% to 20% is common. Some councils weight social value at up to 30% of the total score. Always check the individual tender evaluation criteria to understand the weighting applied.
What themes does the government use for social value?
The UK government uses the Social Value Model with five themes: COVID-19 recovery (helping those most affected), tackling economic inequality (creating jobs, supporting SMEs), fighting climate change (net zero commitments, environmental improvements), equal opportunity (reducing workforce inequality), and wellbeing (improving health and wellbeing). Specific outcomes and metrics are defined under each theme.
How do I evidence social value in a bid?
Evidence social value through specific, quantified commitments — not vague promises. State the number of apprenticeships you will create, the percentage of local spend, the carbon reduction targets, or the volunteering hours you will contribute. Include case studies from previous contracts showing social value delivered. Buyers want to see how you will measure and report on commitments throughout the contract.
Does social value apply to all public sector contracts?
The Public Services (Social Value) Act 2012 applies to public service contracts above the OJEU threshold. Procurement Policy Note 06/20 mandating 10% social value weighting applies to central government contracts. NHS and local authority requirements vary — many apply social value to contracts above their own thresholds. Check the individual tender documents for the buyer's specific social value requirements.
What is the Social Value Model?
The Social Value Model is the government's standardised framework for procuring social value. It provides a set of themes, outcomes and metrics that central government buyers use to specify and evaluate social value. It replaced the previous approach where buyers could specify any social value requirements, providing consistency across central government procurement.
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