New Year, New Public Procurement Thresholds

The (current and) new thresholds (other than for central government, utilities and concession contracts) are:

Current threshold

New threshold from 1 January 2018

Works

£4,104,394

£4,551,413

Services / supplies

£164,176

£181,302

“Light touch regime” services*

£589,148

£615,278

Small lots** for works

£785,530

£820,370

Small lots** for services and supplies

£62,842

£65,630

These will apply to all contracts let and procurements that begin after 1 January 2018.

* The Light Touch Regime applies to “social and other specific services” including health, education, catering, postal services and legal services.

** Where a contracting authority has a ‘single requirement’ for works, services or supplies, up to 20% of that requirement may be let as a separate contract, or as a number of contracts as long as each contract has a value less than the applicable small lots threshold.

If you would like advice or have any questions about the points raised in this article, please get in touch with  Andrew Millross.

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