Social Value in Procurement: What's Changed?
Social value usually makes up around 10% of evaluation scores in government procurement. While it won’t decide every outcome on its own, it can be a cost effective way to gain marks - and suppliers who ignore it could be missing a vital points to secure the win. With new guidelines coming in October 2025, now is the time to get familiar with what’s changing.
Social value has been part of government procurement for more than a decade, and its importance has steadily increased. It was first introduced in the Public Services (Social Value) Act 2012, which required public authorities to consider the wider benefits a contract could deliver and encouraged buyers to think beyond cost when awarding work. In reality, because the legislation only required authorities to consider the impact, practice varied.
Social value in procurement was solidified in 2020 with the introduction of Procurement Policy Note (PPN) 06/20. From that point, social value became a formal, weighted criterion, worth at least 10% of evaluation scores and in some cases a pass/fail point. For suppliers, this meant moving from broad statements of intent to providing clear, measurable commitments in areas such as sustainability, economic inequality and COVID recovery.
In 2025, the guidelines have been updated again. The policy has been redrafted to remove outdated themes, but also to reflect the priorities of the current government. The new outcomes have already started to appear in procurement exercises, but from October the changes will apply across all government contracts (central, local and arm's length bodies).
The new framework is built on eight outcomes:
Fair Work
Skills for Growth
Creating a Diverse Supply Chain
Sustainability
Crime Reduction
Opportunities for those who face barriers
Opportunities for young people and underrepresented groups
Supporting Wellbeing
While some of these are familiar, others are completely new. From what we have seen of the new guidelines so far, bidders could be expected to demonstrate credible contributions across a wide range of outcomes.
So, what should suppliers do to prepare? First, it is recommended that you research the new guidelines in PPN 002. If you are looking for a simplified overview, or just want a conversation, please reach out to Day 1 People. Next, identify your strengths, then look at where you could develop new initiatives to fit with the updated framework. Finally, consider how you will evidence your impact — quantifiable results could make your bids stand out from the competition.
Social value is more than a compliance exercise. The updated framework gives companies of all sizes the chance to identify areas where they could make a positive contribution to their local communities - while also strengthening their bids in a competitive market. If you’d like support navigating the new guidelines or developing strong evidence for your bids, Day 1 People can provide guidance on bid writing and bid management.