Thresholds
Public Sector Procurement in the UK is governed by several regulations, which set out detailed procedures for the award of high value contracts – those with values equal to or exceeding specific thresholds. Details of these thresholds, which came into effect on 1st January 2022, are given below and are inclusive of VAT.
PUBLIC CONTRACTS
Contracts relating to public authorities including, amongst others, government departments, local authorities and NHS authorities and trusts.
Supply, Services and Design Contracts
Central Government: £138,760
Other Contracting Authorities: £213,477
Small Lots: £70,778
With the exception of the following services which have different thresholds or are exempt:
- Social and other specific services (subject to the light touch regime) Article 74.
- Subsidised services contracts specified under Article 13.
- Research and development services under Article 14 (specified CPV codes are exempt).
Works Contracts
Central Government: £5,336,937
Other Contracting Authorities: £5,336,937
Small Lots: £884,720
With the exception of subsidised works contracts specified under Article 13.
Social and Other Specific Services
Central Government: £663,540
Other Contracting Authorities: £663,540
Small Lots: n/a
As per Article 74. Services are listed in Schedule 3.
Schedule 1 of the Public Contracts Regulations lists the Central Government Bodies subject to the WTO GPA. These thresholds will also apply to any successor bodies.
UTILITY CONTRACTS
Contracts relating to certain utility companies operating in the energy, water, and transport sectors.
Supply, Services and Design Contracts
Utility Authorities: £426,955
Works Contracts
Utility Authorities: £5,336,937
Social and Other Specific Services
Utility Authorities: £884,720
DEFENCE & SECURITY CONTRACTS
Contracts relating to entities operating in the fields of defence and security.
Supply, Services and Design Contracts
Defence and Security Authorities: £426,955
Works Contracts
Defence and Security Authorities: £5,336,937
Social and Other Specific Services
Defence and Security Authorities: n/a
CONCESSION CONTRACTS
Concessions are contracts for pecuniary interest by means of which one or more contracting authorities, or contracting entities, entrusts the execution of works, or the provision and the management of services, to one or more economic operators.
Concessions Contracts
Authorities: £5,336,937