Social value in procurement

Find out about social value and how we're working to create positive benefits for local people and communities. Learn about our plans to improve the way social value is built into our commissioning and procurement processes, and how we measure, track, and report the difference it makes.

What is social value?

Social value expands the concept of 'value' beyond financial cost. It is the positive social, economic, environmental, and cultural benefit and impact in a local area, benefitting society as a whole.

We recognise that social value is created across all areas of the council's activity. This includes our role as:

• an employer
• an investor
• a service provider
• a commissioner of goods, services and works

Through these roles, we contribute to positive benefits for our residents, communities and the city.

Social value in commissioning and procurement

Each year, we spend around £860m on goods, services and works. Every pound we spend must deliver long-term value for local people and places and achieve value for public money.

Where relevant and proportionate, all contracts over £25,000 must consider, and include social value, taking account of both their 'inherent' and 'added' value.

What we expect of our suppliers

All our suppliers are expected to make a clear, measurable contribution to Liverpool's six social value priorities below which form part of the Council Plan pillars. These are:

• a strong and fair economy for all
• high-quality and inclusive education, skills, and jobs
• thriving communities
• healthier lives for children and adults
• a well-connected, sustainable and accessible city
• a well-run council

When designing and delivering goods, services and works, we also expect our officers and suppliers to adhere to the council's five principles for social value in Liverpool:

1. Commissioning for social value — A whole life approach
2. Liverpool city first — A local socio-economic approach to social value delivery
3. Be relevant, proportionate and practical
4. Data-driven decision making
5. Validation standards

Please see a full explanation of each of these five principles in the Social Value Policy.

Implementation roadmap

The key implementation priorities outlined below set out how we will deliver the policy over the next three years. These priorities have been developed into a Social Value Action Plan, which will be implemented between 2026 and 2029.

• Build foundations

  Standard processes for adding social value across the four-stage commissioning cycle.

  Clear guidance and practical resources to support this.

• Training and capacity building

  Equip officers and suppliers with the knowledge and skills to embed social value.

• Enable collaboration

  Foster collaboration and engagement by creating pathways for partnership working and brokerage with local VCSEs, ensuring social value delivery aligns with the council's priorities and local community needs.

• Promote inclusive procurement

  Strengthen opportunities for SMEs and VCSEs by reducing barriers to participation and fostering a more diverse and inclusive supply chain.

• Monitor, report and validate

  Measure, validate and report social value delivery, and annual performance.

• Drive continuous improvement

  Promote best practice, share learning, and adapt approaches to meet evolving priorities and local needs.