One of the most common misconceptions about PA23 is that it only applies above the procurement thresholds. It does not. The full procedural requirements apply above threshold, but sub-threshold procurement is within PA23 scope in several important ways.
Current PA23 thresholds
- Goods and services: £213,477
- Works: £5,336,937
- Light touch regime services: £663,540
What PA23 requires for sub-threshold contracts
The general principles of the Act apply to all procurement regardless of value: non-discrimination and equal treatment; proportionality in selection criteria; and conflict of interest obligations — which explicitly apply to all procurement activity, not just above-threshold. Evaluators must declare interests for sub-threshold procurement and those declarations must be documented.
Contracts above £12,000 in England must be published on Contracts Finder. This requirement predates PA23 but is now more visible under the new transparency framework. Many authorities are non-compliant with this.
The audit trail problem
Sub-threshold contracts are not immune to scrutiny. Internal audit, overview and scrutiny committees, FOI requests and media attention can all land on sub-threshold procurement. If your records for a £45,000 contract consist of emails and a signed quote on a shared drive, you are exposed. A structured, auditable sub-threshold process is increasingly expected.
Practical recommendations
- Establish a clear sub-threshold procurement policy aligned with PA23 principles
- Implement conflict of interest declarations for all procurement activity
- Ensure all contracts above £12,000 are published on Contracts Finder
- Maintain auditable records for all sub-threshold procurement — process, competition, evaluation rationale, award decision