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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