PPN Kerpkunk - Don't drop a ball!

WOW! My inbox has exploded with PPN alerts ?? Did yours?

This week, a series of new Procurement Policy Notes (PPNs) have been issued, and there's a lot to catch up on! ?? Here's a detailed rundown of what you need to know:

PPN 001/25: SME and VCSE Procurement Spend Targets

This PPN sets out the requirements for setting targets for direct spend with Small and Medium Enterprises (SMEs) and Voluntary, Community and Social Enterprises (VCSEs). It mandates the annual publication of results to ensure transparency and accountability.

PPN 002/25: Social Value in Procurement

This PPN updates the Social Value Model, aligning it with the Government's strategic priorities. It emphasises the importance of delivering additional social and economic benefits through public contracts. All central government departments are required to use this model to achieve positive outcomes.

PPN 003/25: Supplier Financial Stability

This PPN provides updated criteria for evaluating the financial stability of suppliers. It includes new thresholds for financial ratios to ensure that suppliers are financially sound and capable of fulfilling contract obligations.

PPN 004/25: Cybersecurity in Public Contracts

This PPN outlines the requirements for cybersecurity measures in public contracts. It ensures that suppliers meet specific security standards to protect sensitive information and maintain the integrity of public services.

PPN 005/25: Conflict of Interest Management

This PPN sets out new rules for handling conflicts of interest in procurement. It requires detailed declarations from suppliers to ensure transparency and prevent any potential conflicts that could affect the procurement process.

PPN 006/25: Carbon Reduction Plans

This PPN mandates that suppliers bidding for major government contracts commit to achieving net zero carbon emissions by 2050. Suppliers must publish a Carbon Reduction Plan detailing their strategies to reduce greenhouse gas emissions.

PPN 007/25: Contracts with Suppliers from Russia and Belarus

This PPN provides guidance on managing contracts with suppliers from Russia and Belarus. It reflects the UK's stance on the geopolitical situation and aims to reduce reliance on suppliers from these regions.

PPN 008/25: Payment Practices

This PPN focuses on improving payment practices within government contracts. It ensures timely payments to suppliers, promoting financial stability and encouraging participation from a diverse range of suppliers.

PPN 009/25: Tackling Modern Slavery

This PPN provides guidance on addressing modern slavery in government supply chains. It outlines steps to identify and mitigate risks of modern slavery, ensuring ethical procurement practices.

PPN 010/25: Procuring Steel in Government Contracts

This PPN offers revised guidance on procuring steel in government contracts. It supports the UK steel industry and promotes the use of high-quality, domestically produced steel in public infrastructure projects.

PPN 011/25: The Commercial Playbooks

This PPN introduces measures for risk management in procurement, incorporating the principles from the Commercial Playbooks. These playbooks, produced by the Cabinet Office, aim to improve decision-making and ensure better outcomes and value for money in public services. They systematically change how the government approaches risk, sustainability, and innovation, with adherence assured through existing governance arrangements. There are currently four playbooks: Sourcing, Consultancy, Construction, and Digital, Data and Technology (DDaT), regularly refreshed to stay up to date.

PPN 012/25: Security Classifications Policy

This PPN updates the Government Security Classifications Policy (GSCP) to address gaps and changes in government working practices. It applies to all central government departments, executive agencies, non-departmental public bodies, and NHS bodies. The policy ensures appropriate protective security controls are in place for new and existing contracts, with updated definitions for classification tiers: OFFICIAL, SECRET, and TOP SECRET.

PPN 013/25: Contract Termination Procedures

This PPN provides clear guidelines for contract termination. It ensures that contracts are ended fairly and legally, protecting the interests of both the contracting authority and the supplier. It also emphasises the use of standard contracts to streamline procurement processes. The three standard contracts in the suite are: 1. The Model Services Contract (MSC), 2. The Mid-Tier Contract, and 3. The Short Form Contract.

PPN 014/25: Cyber essentials scheme

This PPN sets out the actions organisations should take to identify and mitigate cyber threats, along with resources to support implementation. It provides guidelines for ensuring appropriate cyber security controls are in place to reduce risks in supply chains. The Cyber Essentials Scheme helps businesses of any size protect themselves against common cyber attacks and demonstrates their commitment to cyber security

PPN 016/25: Carbon Reduction Contract Schedule

This PPN introduces guidelines for carbon reduction in procurement. In 2019, the UK government amended the Climate Change Act 2008 by introducing a target of at least a 100% reduction in the net UK territorial carbon account by 2050, known as the ‘net zero’ target. As environmental and greenhouse gas (GHG) emissions considerations feature in the delivery of most public contracts, there are opportunities for in-scope organisations to support the net zero commitment and reduce GHG emissions through public procurement.

PPN 017/25: Improving Transparency of AI Use in Procurement

This PPN sets out guidelines for improving transparency in the use of AI in procurement. It emphasises the importance of identifying and managing the risks and opportunities associated with AI adoption in government contracts. The note provides guidance on ensuring appropriate use of AI tools and products, promoting transparency and accountability in procurement processes.

PPN 015/25 and PPN 018/25 are not included as they were published in December 2024. These PPNs introduce new standards for payment practices in public procurement, aiming to improve promptness and fairness in payment terms. PPN 015/25 focuses on ensuring suppliers' payment approaches are considered in major government contracts, while PPN 018/25 further refines these standards by reducing the average payment days threshold.

Let's dive into these updates and ensure we're all up to speed! ????

For more details, check out the UK Government's Procurement Policy Notes page.

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