Procurement Strategy 2023-27

Social Value

'Social Value' is a broad term and has been used to describe the social, environmental, cultural and economic impacts of action taken by organisations. 

Social value is about improving economic, social and environmental wellbeing from public sector contracts over and above the delivery of the services directly required and at no extra cost.

Public sector procurement is recognised as one of the levers that has the ability to deliver social value outcomes for the well-being of Wales.

Social Value within Wales needs to be viewed in the context of the Well-Being of Future Generations (Wales) Act 2015 (WBFGA) and the Council recognises that it also needs to align our approach to the forthcoming Procurement Reform and The Social Partnership and Public Procurement Bills expected to become law in late 2023.

 

Themes, Outcomes and Measures (TOMS)

To help organisations measure social value in procurement exercises the Welsh TOMS have been developed by the WLGA and the Office for the Future Generations Commissioner for Wales. 

Some local authorities have begun to pilot the use of TOMS to measure social value. However to date Pembrokeshire have not participated and we need to understand the impact on our supply base in completing such documentation as part of a procurement exercise. There are time and cost implications which could deter bidders at a time when it is difficult to attract the market. This is particularly so for local companies who are SMEs or micro SMEs.  

There are also resource implications for the Council itself in implementing this approach, internally around contract management and the need to ensure social value obligations are delivered, and externally in ensuring our local supply base understand this new way of procuring. 

There is a need for Welsh Government to take the lead on a Wales wide approach to social value and to resource this commitment effectively.