Source: https://tendernation.io/glossary/social-value Glossary # Social value (PPN 002) The wider economic, social and environmental benefits a supplier commits to deliver through a contract, scored as part of the tender. Updated 14 Oct 2026 Social value is the wider benefit a contract delivers beyond the goods or services themselves: for example local jobs, apprenticeships, opportunities for small businesses, environmental improvements or support for community groups. In many public tenders it is scored as a separate award criterion. ## What it means For central government, the rules are set by [PPN 002: Taking account of social value in the award of contracts](https://www.gov.uk/government/publications/ppn-002-taking-account-of-social-value-in-the-award-of-contracts/ppn-002-taking-account-of-social-value-in-the-award-of-central-government-contracts-html). It requires in-scope buyers to apply a minimum 10% weighting of the total score to social value, using the Social Value Model, and says commitments made during the procurement must be reflected in the contract. A newer note, [PPN 026: The Social Value Model](https://www.gov.uk/government/publications/ppn-026-the-social-value-model/ppn-026-the-social-value-model-html), applies to central government departments and their agencies and arm's length bodies, for procurements commenced on or after 1 January 2027 that are worth £1 million or more. Councils and other public bodies may adopt it but don't have to. It sets a minimum weighting of 10% for contracts from £1 million to under £5 million and 20% for contracts of £5 million or more, with a focus on British jobs and skills. Outside central government, [section 1 of the Public Services (Social Value) Act 2012](https://www.legislation.gov.uk/ukpga/2012/3/section/1) requires relevant authorities, including councils, to consider social value before procuring public services contracts. Many score it in their own way. ## Why it matters for SMEs Social value can be where a small supplier beats a large one. Local employment, a local supply chain and real community ties are often more credible from an SME than from a national firm's standard pledge. But evaluators score specific, measurable commitments that relate to the contract, not general good intentions. ## Practical tip Answer the exact social value outcome the tender asks for, with numbers, timescales and how you will report progress. Only commit to what you can deliver, as it becomes a contract term. Reuse evidence from your [Carbon Reduction Plan](/glossary/carbon-reduction-plan) for environmental outcomes, and check the [evaluation weighting](/glossary/evaluation-weighting) so the answer gets the effort it deserves. Find tenders that fit your business Search UK, EU and World Bank tenders in one place, get AI summaries and a fit score for each one, and track bids in a pipeline. Professional comes with a 14-day free trial, no card needed. [Browse live tenders](/opportunities)[Start free trial ](/register) 14-day free trial, no card required Browse by sector - [Construction work](https://tendernation.io/sectors/construction-work)324 - [Architecture, engineering & surveying](https://tendernation.io/sectors/architecture-engineering-surveying)115 - [IT services](https://tendernation.io/sectors/it-services)48 - [Business services](https://tendernation.io/sectors/business-services)161 - [Health and social work](https://tendernation.io/sectors/health-social-work)249 - [Sewage, refuse, cleaning & environmental](https://tendernation.io/sectors/sewage-refuse-cleaning-environmental)73 [All sectors ](/sectors) ## Nearby terms [Reserved contracts (PPN 005)Competitions a buyer limits to certain kinds of supplier, such as local SMEs and VCSEs below threshold, or supported employment providers.](https://tendernation.io/glossary/reserved-contracts)[Selection questionnaire (SQ)A standard set of questions buyers use to check a supplier's eligibility, finances and capability before assessing its tender.](https://tendernation.io/glossary/selection-questionnaire)[SME and VCSESMEs are small and medium-sized enterprises; VCSEs are voluntary, community and social enterprises. Both get specific attention in UK procurement policy.](https://tendernation.io/glossary/sme-vcse)[Standstill periodA pause of at least eight working days after a contract award notice, during which the buyer cannot sign the contract and bidders can challenge.](https://tendernation.io/glossary/standstill-period)[Tender noticeThe formal notice a buyer publishes to start a competitive procurement, inviting suppliers to tender or to ask to take part.](https://tendernation.io/glossary/tender-notice)[Unique identifier and share codeThe unique identifier is your organisation's code on the Central Digital Platform; a share code lets a buyer see your registered supplier information.](https://tendernation.io/glossary/unique-identifier-share-code) [Read our procurement guides ](/guides)