What Is Social Value? A Beginner’s Guide to Social Value in Public Procurement
6 min readBy Kim FraterPublished 2026-07-27
“I believe public procurement shouldn’t be complicated. Every guide I write explains the process in plain English so you can bid with confidence.”
Hi, I'm Kim. If you're new to public procurement, don't worry, this guide will walk you through everything you need to know in plain English.
If you've looked at a public sector tender recently, you've probably come across the words "Social Value."
Perhaps it was worth 10% of the overall score.
Maybe the buyer asked you to explain how your business would deliver social value throughout the contract.
If you're wondering what that actually means, you're not alone.
It's one of the questions I'm asked most often by businesses that are new to public procurement.
The good news is that social value isn't nearly as complicated as it sounds.
In this guide, I'll explain what it is, why buyers ask for it and how businesses of every size can demonstrate meaningful social value when bidding for public sector contracts.
What Is Social Value?
In simple terms, social value is the additional benefit your business brings to people, communities and the environment alongside delivering the contract itself.
Think about it this way.
If a council awards a contract to clean one of its office buildings, it obviously expects the building to be cleaned properly.
That's the contract.
But what else could your business contribute while delivering that service?
Perhaps you'll recruit people from the local area.
Maybe you'll provide work experience for young people.
You might use local suppliers, reduce waste, support community projects or introduce environmentally friendly working practices.
Those additional benefits are what buyers refer to as social value.
Why Do Public Sector Buyers Ask for Social Value?
Public sector organisations spend taxpayers' money.
Because of that, they're increasingly expected to achieve more than simply purchasing goods or services at the lowest cost.
They also want contracts to create wider benefits for the communities they serve.
For example, a buyer may want the contract to help:
create local employment opportunities
improve skills and training
support small local businesses
reduce carbon emissions
improve community wellbeing
encourage equality, diversity and inclusion
protect the environment
The contract still has to be delivered successfully.
Social value simply asks:
"What additional positive impact will your business create while delivering it?"
Is Social Value Just About Charity?
This is probably the biggest misconception.
Many businesses think social value means making donations or sponsoring local events.
Those activities can certainly be positive, but they aren't always what buyers are looking for.
Good social value should be connected to the contract you're delivering.
For example, if you're providing cleaning services, employing local people, reducing the use of harmful chemicals and offering apprenticeships are likely to be far more relevant than simply making a charitable donation.
The strongest social value commitments are those that naturally form part of your service delivery rather than being separate activities.
Examples of Social Value
Social value will look different depending on the type of contract, but common examples include:
employing people from the local community
creating apprenticeships or work placements
providing training and skills development
supporting local charities and community groups
using local suppliers where appropriate
reducing waste and improving recycling
lowering carbon emissions
introducing environmentally sustainable working practices
promoting equality, diversity and inclusion
supporting employee wellbeing and mental health
Not every commitment needs to be large or expensive.
In fact, smaller commitments that are realistic and measurable often carry more credibility than ambitious promises that are difficult to deliver.
How Is Social Value Scored?
Most public sector tenders include a quality evaluation alongside pricing.
Within that quality score, social value often carries its own weighting.
It's common to see social value worth 10% of the total score, although some procurements give it a much higher weighting.
That means a strong social value response can make a real difference to your overall result.
It's important not to treat it as an afterthought.
A carefully considered response could be the difference between winning and losing a contract.
Can Small Businesses Compete?
Absolutely.
One of the biggest myths is that only large organisations can deliver meaningful social value.
In reality, many SMEs are already deeply connected to the communities they serve.
You may already:
employ local people
support local suppliers
sponsor community organisations
provide flexible employment opportunities
volunteer within your community
reduce your environmental impact
The key is recognising these activities and explaining how they'll continue throughout the contract.
Buyers aren't always looking for the biggest commitments.
They're looking for commitments that are genuine, relevant and achievable.
What Makes a Good Social Value Response?
The strongest responses usually have three things in common.
They're Relevant
Your commitments should relate to both the contract and the buyer's priorities.
They're Specific
Instead of saying:
"We'll support the local community."
Explain exactly what you'll do.
For example:
"We'll provide two weeks of work experience each year for students from local schools."
Specific commitments are much more convincing than general statements.
They're Measurable
Buyers want to know how you'll demonstrate success.
If you commit to creating apprenticeships, how many?
If you're reducing waste, by how much?
If you're supporting local employment, how will you measure it?
Being able to report against your commitments gives buyers confidence that you'll actually deliver them.
Common Myths About Social Value
Let's clear up a few common misunderstandings.
Myth 1: Social value is just about planting trees.
Not at all.
Environmental initiatives are only one part of social value.
Employment, skills, community investment and local economic growth are equally important.
Myth 2: Only large companies can score well.
False.
Many SMEs already deliver excellent social value because they're closely connected to their local communities.
Myth 3: Social value has to cost a lot of money.
Again, no.
Some of the strongest commitments involve sharing skills, creating opportunities or improving the way you deliver your service rather than making large financial contributions.
Myth 4: You can use the same social value response for every tender.
Not if you want to score highly.
Every buyer has different priorities.
A response that works well for one organisation may not meet the objectives of another.
Always tailor your commitments to the contract you're bidding for.
Why Evidence Matters
Just like every other part of a tender, buyers are looking for evidence.
If you already deliver social value through existing contracts, tell the buyer about it.
Explain what you've done.
Describe the outcomes you've achieved.
Where possible, include figures and examples.
Evidence is far more persuasive than simply promising you'll do something in the future.
My Final Thoughts
Social value isn't about ticking a box or adding a few environmental promises to the end of your bid.
It's about demonstrating how your business will create wider benefits while delivering an excellent service.
The good news is that many businesses are already delivering social value without even realising it.
The challenge is learning how to recognise it, explain it clearly and present it in a way that buyers can evaluate.
Once you start thinking about social value as part of your everyday business, rather than something separate from it, writing these responses becomes much easier.
Thanks for reading.
I hope this guide has made public procurement a little easier to understand.
Kim Frater
Founder, Bid Trawler
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