The Importance of Social Value to winning Tenders in The UK

For public procurement in The UK, social value has moved from a nice-to-have to a core component of tendering strategy. Understanding what it means, how it is evaluated and what contracting authorities expect is now a critical differentiator for bidders. Organisations that can convincingly articulate and deliver social value are far better positioned to win tenders, especially in an environment of growing scrutiny of public-spend, local community outcomes, sustainability and value beyond cost.

What is social value in procurement?

“Social value” in procurement is defined broadly as the additional benefit to society, beyond the direct delivery of goods or services, that a contract can generate. It encompasses three principal dimensions:

  • Social – improving wellbeing of individuals and communities (jobs, skills, inclusion)

  • Economic – boosting local economy, supply-chain participation, fair pay, local SMEs

  • Environmental – sustainable practices, reducing carbon, circular economy, resource efficiency.
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Why understanding social value matters for winning tenders

1. It is increasingly mandatory & is scored! For many tenders, social value is formally part of the award criteria. For example, many public bodies now allocate a minimum 10% weighting (or higher) of tender evaluation to social value commitments.

2. It can be a key differentiator in a crowded tender field where price and technical compliance may be similar across bidders, social value can provide the edge. Those organisations that place a strong emphasis on this and can prove that they have done so, can gain a big edge.

3. New Opportunities For organisations (especially SMEs) that embed social value into their approach, new tender opportunities may become accessible. Buyers will always prefer suppliers who demonstrate strong social value performance.

Key elements for bidders: What you need to know?

Here are the key things a bidder must understand to integrate social value effectively into tender responses.

A. Understand the buyer’s social value objectives

  • Read the tender documentation to identify which outcomes the contracting authority emphasises (e.g., local jobs, apprenticeships, carbon reduction, SME supply-chain spend).

  • Check if the buyer has published a social value policy or a community benefit statement (many local authorities do).

  • Consider geography: often social value is judged in relation to the area served by the contract (local residents, local supply-chain).

B. Write a distinctive and relevant social value offer

  • Align your proposed commitments with the buyer’s priorities (e.g., for a construction project: apprenticeships, jobs for local people, low-carbon materials).

  • Make sure that your commitments are proportionate. You cannot overpromise and make an offer that is not in line with the contract value or your capacity to deliver

  • Include detail: what you will do, when, where, by whom, and how you will measure it (delivery plan, resources, governance)

C. Evidence & data

  • Provide past examples/case-studies of social value delivered by your organisation (or through partnerships). This demonstrates that you have successfully delivered social value. You may not have formally written a social value response for a tender but by showing the work you do with local charities, your supply-chain, your sustainability measures etc, this adds huge value.

  • Agree measurement and reporting mechanisms as contracting authorities will expect you to monitor, report and manage the social value aspects during contract delivery.

  • Build internal governance: assign a responsible person/role, allocate budget/time, integrate social value into contract management.

D. Risk management

  • Ensure your social value commitments are realistic and can be delivered. It will lead to problems later if you win the contract, but you can then not deliver on your promises.

  • Monitor performance from the very beginning of the contract. Do not wait until quarterly updates to start thinking about what you have done. Make sure that social value is embedded in your plans from the start, and you have the resources in place.

E. Communicate your message clearly

  • Use clear language: avoid vague platitudes (“we will support the local community”) – instead specify numbers where appropriate (e.g., “we will offer 2 apprenticeships”, “we will spend 15% of subcontract spend locally”).

Concluding thoughts

Social Value is a strategic requirement for tender success in the UK. Organisations that understand what social value means, and can communicate their plans clearly will have a clear competitive advantage. For bidders, the message is clear: build social value into your strategy, treat it as part of your delivery promise, and not simply a box-ticking exercise. By doing so, you position yourself not only to win the contract but to deliver meaningful impact and build longer-term credibility with public buyers.

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