One of the powerhouses behind this legislation, so ably steered through Parliament by Chris White MP, is Social Enterprise UK, which hosted its Social Value Conference on 20th November, bringing together a large audience that represent the tip of an iceberg of collective activity galvanised by the Act. At the conference Social Enterprise UK launched new guidance [1] - “The Social Value Guide: Implementing the Public Services (Social Value) Act”. This guide explains the Act, describes social value, and then sets out some guidelines on how to put the Act into practice.
A key component of the Act is the requirement on public bodies to consider the economic, social and environmental well-being of the areas that they serve. This has been common practice for local authorities for at least a decade: it is easy to do so when there is clear geographical area to apply this thinking. Housing associations and NHS bodies should also find this perfectly within their competence. It is more difficult possibly for Government departments with national remits to reflect in these terms.
To help this thought process the new guide recommends that all public bodies should adopt an identifiable social value policy. Rather than adopt a set of loose commitments, a social value policy can and should be defined in terms of the benefits that it promotes, such as:
If every contracting authority adopts such a policy, the scope for reflecting social value in procurement will be greatly enhanced. It does not have to be a long document – just one that demonstrates commitment to unlocking real value for money in public services.
Under EU law, a policy of this kind will legitimise the environmental and social characteristics that are reflected in a contract and the evaluation criteria adopted to determine the service provider chosen at the end of the procurement process [2].
The development of a social value policy goes beyond doing a tick box exercise to comply with European procurement laws. At the Social Value Conference some good learning was shared including:
This approach blows open assumptions about good practice, wise expenditure and meeting real need. What the Social Value Act does is to counter the “am I bovvered?” behaviours that can typify so many parts of the public arena. It’s part of a journey that should lead to greater resilience and more collaboration in times when the conventional is often unaffordable.
Mark Cook is a partner at Anthony Collins Solicitors LLP and helped to write the new guide: “The Social Value Guide: Implementing the Public Services (Social Value) Act”.
[1] http://www.socialenterprise.org.uk/uploads/files/2012/11/social_value_guide.pdf
[2] Concordia Bus Finland OyAb (formerly Stagecoach Finland OyAb) v (1) HelsinginKaupunki (2) HKL– Bussiliikenne (2002) (C-513/99)
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