What is the EU threshold?
What is the EU threshold?
EU law sets minimum harmonised rules for tenders whose monetary value exceeds a certain amount and which are presumed to be of cross-border interest.
What are the UK procurement thresholds 2021?
The New Thresholds
| Contract Type | Current threshold excl. VAT (until 31 December 2021) | New threshold incl. VAT (from 1 January 2022) |
|---|---|---|
| Works | £4,733,252 | £5,336,937 |
| ‘Light Touch Regime’ Services | £663,540 | £663,540 |
| UCR | ||
| Supplies/ Services | £378,660 | £426,955 |
What was the value for OJEU threshold?
Notices are required to be published in the Official Journal of the European Union should contracts for works, supply or services are above the following threshold: public works contracts worth above €4,845,000. public supply and service contracts worth above €125,000 for central government authorities.
What is the UK procurement threshold?
Key changes
| Contract Type | Previous Threshold (net of VAT) | New Threshold (including VAT) |
|---|---|---|
| Concession Contracts | ||
| Concession contracts | £4,733,252 | £5,336,937 Indicative value excluding 20% VAT £4,447,447 |
| Defence and Security Contracts | ||
| Supplies and services contracts | £378,660 | £426,955 Indicative value excluding 20% VAT £355,795 |
What is OJEU procurement?
When a public sector body within the European Union wants to buy any goods, works, or services over a certain value (“threshold”) it must advertise in the Official Journal of the European Union (OJEU). This advertisement takes the form of a contract notice, also known as a tender notice.
Do procurement thresholds include VAT?
When applying the new thresholds, contracting authorities and utilities must now ensure that contract value estimates include an allowance for VAT. This will include instances where VAT is initially payable but later recoverable.
Will OJEU apply after Brexit?
Since the UK’s departure from the EU, OJEU has been replaced by a UK-only tendering service and there will no longer be a legal requirement to publish procurement contracts on OJEU.