Definition
Lot
A divided portion of a contract that can be bid for separately.
A lot is a defined, separately awardable portion of a procurement, framework or Dynamic Purchasing System — split, for example, by geography, service type or value band — allowing suppliers to bid for one, several or all lots rather than the whole requirement as a single package.
Common ways buyers divide requirements into lots
Buyers split contracts into lots to open up competition to a wider range of suppliers, including SMEs that could not deliver an entire national contract but can competently deliver a regional or specialist portion. Common splits include geographic areas, service categories, size or value bands, or specific technical disciplines within a wider scope.
Public buyers are increasingly encouraged, and in some cases required by internal policy, to consider lotting where practical, since it can improve competition and value for money as well as supporting smaller and local suppliers.
- Geographic lots (e.g. by region or local authority area)
- Service-type lots (e.g. by discipline or specialism)
- Value-band lots (e.g. smaller-value work split from larger packages)
- Suppliers can typically bid for one, several, or all lots depending on the rules stated
What to check when bidding for lots
Read the lot structure carefully in the tender documents: some competitions cap how many lots any one supplier can win, to avoid over-reliance on a single provider; others allow unlimited lot wins. Also check whether evaluation is done lot-by-lot with separate scoring, since a strong bid for one lot does not automatically carry weight in another.
Frequently asked questions
- Can I bid for only one lot instead of the whole contract?
- Usually yes, unless the tender documents specifically say bids must cover all lots or a minimum combination of them. Most lotted procurements are designed precisely so suppliers can bid for the lot or lots that suit their capacity and specialism, rather than the entire requirement.
- Does winning one lot make it easier to win others in the same tender?
- Not automatically. Each lot is normally evaluated separately against its own award criteria and requirement, so a strong score on one lot does not carry over. You need to submit a complete, tailored response for every lot you want to be considered for.
- Why do some tenders limit the number of lots a single supplier can win?
- Buyers sometimes cap lot wins per supplier to manage risk, ensure resilience of supply, and avoid over-dependence on one contractor across an entire service. This is common in higher-risk or high-volume categories such as adult social care or facilities management.
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