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Contract Thresholds

The rules a public sector procurement officer must follow vary depending on the type and value of the contract advertised.   

This page is for information only, as the procurement officer will ensure that their tender process meets the required thresholds and will have chosen the correct procurement procedures to follow.

Procurement Reform (Scotland) Act 2014 Thresholds

In Scotland the Procurement Reform (Scotland) Act 2014 has set a contract threshold of £50,000 excluding VAT for goods and services contracts.  This is known as a “regulated procurement”.

This now means that all regulated procurements (of or over £50k in value excluding VAT for goods and services) let by public sector Procurement Officers must be advertised on the Public Contracts Scotland.

Non-regulated procurements

Contracts which are worth less than £50k excluding VAT (known as “non-regulated procurements”)  are subject to fewer rules.

EU Thresholds

The EU has set contract threshold values which are updated every two years.  When contracts are above the relevant EU contract threshold values the relevant Regulations apply.   The threshold differs, depending on which public body is advertising the contract and what they are buying - see the EU threshold values.

EU contract thresholds are also known as ”EU-regulated procurements” and as “over OJEU” tenders.

EU-regulated procurements must be advertised  throughout Europe.  This is done online via the Official Journal of the European Union (OJEU).  When a procurement officer uses Public Contracts Scotland to advertise their requirement their Contract Notice is then automatically published within 48 hours on OJEU if it is over the relevant EU threshold.

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