Illustration labelled PPN 026 Guidance Update, with a checklist, community figures and a reporting chart
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PPN 026 update: new details emerge ahead of January 2027

6 min read
Social ValueProcurementPolicy
In Short

PPN 026 applies to relevant central government procurements advertised from 1 January 2027. As of 14 October 2026, detailed implementation guidance is still being developed. Stakeholder engagement indicates that Standard Reporting Metrics are expected to continue and a list of community programmes is being prepared. These details remain subject to confirmation in the final guidance.

An update on PPN 026 guidance, Standard Reporting Metrics, community programmes and social value KPIs, distinguishing confirmed policy from details still awaiting publication.

PPN 026 applies to relevant central government procurements advertised from 1 January 2027. Its detailed implementation guidance is still being developed. Information from recent Cabinet Office stakeholder engagement indicates that Standard Reporting Metrics are expected to continue and that a new list of community programmes is being prepared.

The Cabinet Office published PPN 026: The Social Value Model in August. The final guidance will cover areas including evaluation, reporting metrics, target groups, frameworks and the practical operation of community programmes.

As of 14 October 2026, information shared during stakeholder engagement suggests that the government is aiming to publish the guidance by 30 November 2026. This appears to be a working target rather than a formally announced publication date.

Will Standard Reporting Metrics continue under PPN 026?

The latest information indicates that Standard Reporting Metrics will remain and will be updated to reflect the new model's focus on good jobs and skills. This is yet to be confirmed in published Cabinet Office guidance, so organisations should wait for the final documents before changing their reporting systems.

One of the main unanswered questions following the publication of PPN 026 was what would happen to the existing Standard Reporting Metrics.

The metrics allow government departments and suppliers to report common commitments in a consistent way. Without them, an apprenticeship could be counted as a role, a full-time equivalent, a number of weeks or simply an opportunity offered.

Where a supplier's commitment matches an existing reporting metric, that metric is expected to be used for the contract KPI. New metrics are also expected for the community programmes included in the forthcoming guidance.

What is the new list of community programmes?

PPN 026 already confirms that a "List of Community Programmes" will be published alongside the guidance.

These are expected to be established national and regional programmes covering areas such as apprenticeships, work placements and employment support for people facing barriers to work.

The intention appears to be to give commissioners and suppliers a clearer route to programmes that have already been assessed as capable of creating social value. This could be particularly useful for suppliers entering a new area without existing relationships with employment providers or community organisations.

Using a listed programme is expected to be optional. Suppliers choosing one would still need to explain:

  • what they will contribute;
  • how participants will be supported;
  • how the programme relates to the contract;
  • what will happen at the end of the placement or intervention; and
  • how delivery will be evidenced.

There are practical questions to resolve. A programme could receive approaches from several bidders for one contract, while only one will ultimately be appointed. Smaller organisations may also need funding and additional capacity if they are expected to help suppliers deliver contractual commitments.

The final guidance should explain what evidence bidders will need from programme owners and how these relationships should work during procurement.

How will social value KPIs be published and reported?

Under PPN 026, contracts worth £5 million or more must include at least one social value KPI.

These KPIs will be published through the central digital platform and reported against at least annually. Where a supplier has made several commitments, the contract may require more than one social value KPI.

The format is still under consideration. Each commitment could have its own published KPI, or contracts could use an overall indicator showing whether the supplier's complete package of commitments is on track.

Whatever approach is selected, commissioners will need a clear connection between the original tender response, the contractual commitment, the agreed KPI and the evidence collected during delivery.

Our existing guide, What makes a good social value KPI?, explains how commitments, outputs and outcomes can be defined and monitored.

What happens to environmental and wider community outcomes?

The new Social Value Model concentrates its scoring on good jobs, fair pay, working conditions, training, progression and the future talent pipeline.

Environmental outcomes are expected to sit outside the new model. Current information suggests that environmental responsibilities and modern slavery will continue to be addressed through separate procurement requirements and updated policy notes.

Buyers may also be able to include relevant environmental or community questions elsewhere in their evaluation, using weighting outside the dedicated social value allocation.

This is an area where the final guidance will be particularly important. Climate, wellbeing, modern slavery and wider community outcomes remain relevant to responsible procurement, even where they no longer form part of the central government Social Value Model.

Which PPN 026 implementation questions are still being considered?

The Cabinet Office is understood to be considering:

  • which additional groups should be included as target cohorts;
  • how contracts with several social value commitments should structure their KPIs;
  • what evidence suppliers will need when committing to a recognised community programme;
  • how SMEs and VCSEs should participate through supply chains;
  • how existing or inherent social value, such as retaining local jobs, should be treated;
  • how social value should operate at framework and call-off level; and
  • how the model applies when a central government contract is delivered in Scotland, Wales or Northern Ireland.

These questions could materially affect how commissioners write tenders and how suppliers prepare their responses.

How can commissioners and suppliers prepare now?

Commissioners and suppliers can begin preparing, while allowing for further changes when the guidance is published.

This includes reviewing forthcoming procurements, understanding local employment and skills needs, checking how commitments are recorded and deciding who will be responsible for delivery after contract award.

Evidence should cover the quality and duration of opportunities as well as the number offered. Pay, security, duration, progression, completion and sustained employment provide a clearer account of what changed for the people involved.

Our guide to measuring jobs and skills social value looks at the evidence needed to move from a contract commitment to a sustained outcome.

Commissioners should also consider whether their requirements are realistic for different types and sizes of supplier. Our guide to setting ambitious social value requirements without excluding SMEs and charities provides a practical starting point.

We covered the scope, thresholds and award criteria of the announcement in our earlier article, The January 2027 Social Value Model puts jobs and skills at the centre of procurement.

We will update our guidance again when the Cabinet Office publishes the final implementation documents.

Source and information status

The published policy source is the Cabinet Office's PPN 026: The Social Value Model. Details described as expected or under consideration in this article arise from stakeholder engagement and remain subject to confirmation in the final Cabinet Office guidance.

Information checked on 14 October 2026.

Preparing a bid? See SVE Delivery in action

SVE Delivery is optimised for PPN 026 and other social value frameworks. Suppliers and bidders can use local needs and place data to inform their bids, then manage commitments, KPIs and supporting evidence through contract delivery.

Book a demo to see how SVE Delivery can support your next tender.

Frequently asked questions

Expand a question to read the answer.

PPN 026, the Cabinet Office's new Social Value Model, applies to relevant central government procurements advertised from 1 January 2027. Organisations should check the published policy note for its scope and the final implementation guidance for practical requirements.

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