The Procurement Act, released in February 2025, is transforming how public sector procurement works across the UK. For Voluntary, Community, and Social Enterprise (VCSE) organisations, this brings plenty of new opportunities—and a few fresh challenges—when it comes to bidding for and delivering public contracts. Below, we’ll explore the main points of the new Act, referencing insights from both Socitm’s resource hub and the government’s Transforming Public Procurement programme. We’ll also look at how the Social Value Engine can support VCSEs in meeting requirements, demonstrating impact, and standing out from the crowd.
The new Procurement Act: a quick overview
The new Act builds on existing rules but places a much stronger emphasis on transparency, innovation, and social value. In line with the broader goals of Transforming Public Procurement, it aims to make procurement simpler and fairer, especially for smaller organisations. Public bodies are now encouraged to think beyond cost alone, focusing on long-term benefits, resilience, and tangible community impact.
This is excellent news for VCSEs because social value isn’t just a “nice-to-have” anymore—it’s at the heart of how public contracts are decided. That said, you’ll need clear, robust evidence that demonstrates your organisation can deliver meaningful outcomes.
If you’re part of the VCSE sector, you’ve probably been championing social and community well-being for a long time. Now, funders and commissioners will pay even closer attention to what you’re already great at: creating a positive difference on the ground.
Opportunities will likely expand for VCSEs, but you’ll also see more competition from other types of suppliers that can demonstrate social value. Additionally, the new Act requires a higher level of evidence and ongoing reporting to show how you’re meeting your social value commitments throughout the contract life cycle. In other words, there’s never been a better time to sharpen your impact measurement tools.
Tapping into government guidance
For a deeper dive into the government’s thinking, take a look at their Transforming Public Procurement collection. It offers a clear picture of what the UK aims to achieve with these reforms: streamlined processes, better accountability, and a focus on delivering value in the widest sense.
By getting familiar with these materials, you’ll see how your VCSE’s mission aligns with national goals and learn the best ways to present your achievements in a way that resonates with procurement teams.
How the Social Value Engine helps VCSE organisations
The Social Value Engine is a tool designed to help organisations quantify, measure, and communicate the value they create for people and communities. It’s grounded in recognised metrics and proxies, which means you can assign real, transparent values to outcomes like improved mental health, reduced isolation, or environmental benefits.
- Easy to use: The system walks you through defining outcomes, plugging in data, and generating straightforward reports.
- Built for VCSEs: You can customise the metrics to align with your specific activities and community impact.
- Makes you stand out: When you include these evidence-based reports in your bids, you’ll show that you can back up your social value claims with solid data.
The Social Value Engine is designed to help organisations quantify, measure, and communicate the positive outcomes they create for people and communities. Grounded in recognised metrics and proxies, it assigns clear, transparent values to improvements in areas such as mental health, community cohesion, and environmental well-being. With a user-friendly platform that guides you through setting up outcomes, inputting data, and generating concise reports, the Social Value Engine offers several key benefits:
Clearer evidence for stronger bids
Saying you generate positive community impact is one thing, but being able to prove it makes all the difference. By turning real-world outcomes into data-backed insights, the Social Value Engine shows commissioning teams exactly how your work contributes to social value.
Ongoing compliance
Under the new Procurement Act, social value delivery is monitored throughout the life of a contract. Regular tracking and updates in the Social Value Engine ensure you can stay on top of these requirements at every stage.
Building trust and credibility
Commissioners and funders expect transparency and accountability. Presenting your social impact through clear, consistent reporting helps foster confidence in your organisation, strengthening relationships and opening the door to new opportunities.
Informed decision-making
Measuring impact isn’t just for external audiences. By seeing which activities deliver the greatest social returns, you can refine your services, optimise resources, and ensure your core mission remains at the forefront.
Simple steps to get started
- Review the requirements: Familiarise yourself with the key features of the Procurement Act and the main goals of the Transforming Public Procurement programme.
- Map out your outcomes: Think about what your organisation delivers—whether it’s community cohesion, environmental sustainability, or better well-being—and list the outcomes you most want to highlight.
- Use the Social Value Engine: Explore how its features can fit your projects. If you need support, there are helpful guides and training sessions available.
- Incorporate evidence in your bids: Use the Engine’s reports to showcase your strengths, making sure they align with the priorities set out in procurement documents.
- Keep evolving: Social value measurement is never a one-and-done exercise. Keep tracking, keep refining, and keep showing commissioners how you’re adapting to deliver the best outcomes.
