Procurement Policy Note 09/16: Procuring for Growth Balanced Scorecard · first published 14 October 2016
PPN 09/16 instructs government buyers to apply a "balanced scorecard" approach when designing procurements for construction, infrastructure, and capital investment contracts valued above £10 million. The scorecard is a tool to stop price being the only deciding factor — it explicitly requires buyers to weigh cost against broader considerations such as social and wider economic value. This was published in October 2016 and remains active. If you are bidding for large public construction or infrastructure projects, buyers are required to score you on more than just price, which opens the door for SMEs (small and medium-sized enterprises) that bring local jobs, apprenticeships, or community benefit. The document references separate guidance on how to apply the scorecard; the full detail sits in that guidance rather than in this note alone.
WHO THIS APPLIES TO
THE ENKII VIEW
The balanced scorecard requirement is a genuine opportunity for SMEs: by mandating that buyers look beyond cost, it levels the playing field against larger firms that can always undercut on price. SMEs bidding on £10m+ construction or infrastructure work should treat social and economic value as a scored dimension, not a nice-to-have. The risk is that buyers may interpret the scorecard narrowly, so suppliers who proactively evidence their local economic contribution put themselves in a stronger position.
1. Build a dedicated 'social and economic value' section into every bid: document local jobs created, apprenticeships, supply-chain spend in the region, and any community benefits — buyers are required to score these alongside cost.
SMEs bidding on construction, infrastructure or capital investment contracts over £10m with central government — The PPN mandates a balanced scorecard that explicitly weighs 'social and wider economic considerations' against cost, so these factors carry real evaluation weight.
2. Ask the buyer at the earliest opportunity (e.g. market engagement or clarification stage) to share the specific balanced scorecard they will use, so you can tailor your bid to the exact criteria and weightings.
SMEs bidding on construction, infrastructure or capital investment contracts over £10m with central government — The PPN references separate guidance documents that set out how the scorecard is applied — the detail will be in the buyer's procurement documents, not in this note alone.
3. Promote your local economic contribution (e.g. local workforce, local suppliers) to the prime contractor, as their bid scorecard requires them to demonstrate social and economic value — your credentials strengthen their score.
SMEs who subcontract to tier-1 contractors on £10m+ public construction or infrastructure projects — The balanced scorecard requirement applies at the prime-contract level, meaning prime contractors are incentivised to evidence social and economic impact through their supply chain.
Every rule below quotes the official document verbatim.
The balanced scorecard approach applies to all construction, infrastructure and capital investment procurements with a value over £10 million. (Central government buyers; construction, infrastructure and capital investment contracts over £10m)
“This note applies to all construction, infrastructure and capital investment procurements with a value over £10 million.”
The balanced scorecard is designed to help buyers balance straightforward factors such as cost against more complex factors such as social and wider economic considerations. (Central government buyers; construction, infrastructure and capital investment contracts over £10m)
“balancing straightforward matters, such as cost, against more complex issues, such as social and wider economic considerations, when designing their procurement approaches”
The PPN references separate guidance that sets out how to adopt the balanced scorecard approach in practice. (Central government buyers; construction, infrastructure and capital investment contracts over £10m)
“It refers to guidance which sets out how to adopt a balanced scorecard approach and serves as a tool to guide public procurers”
This briefing is enkii's interpretation of the official document — the official text always governs.
Source document © Crown copyright, reused under the Open Government Licence v3.0 via the GOV.UK Content API. enkii tracks every Procurement Policy Note and briefs changes the day they land — see all briefings.