Framework

FTS Threshold

The contract value above which UK public procurement must follow Find a Tender publication rules; updated every two years.

Michael Kitt, founder and public procurement analyst at KimonBidsMichael Kitt··Framework

Definition

The FTS threshold is the contract value above which UK public procurement must follow Find a Tender publication rules under PCR 2015 / PA 2023. Thresholds vary by contract type: roughly £139,000 for central government goods and services, £214,000 for sub-central government, £5.3 million for works contracts. Thresholds are revised every two years by Cabinet Office to reflect SDR (Special Drawing Rights) value and are published as a Cabinet Office notice. Contracts above threshold trigger the full above-threshold procurement regime; below-threshold contracts follow lighter procedures.

How it works in practice

The threshold has several practical implications. First, publication obligation: above-threshold contracts must be advertised through a Contract Notice on Find a Tender. Below-threshold central government contracts must still publish on Contracts Finder above £12,000; other public sector above £25,000. Second, procedure choice: above-threshold contracts must use one of the prescribed procurement procedures (Open, Restricted, Competitive Dialogue, Competitive Procedure with Negotiation, Innovation Partnership under PCR; Open, Competitive Flexible, Direct Award under PA 2023). Below-threshold contracts have more procedural flexibility. Third, response windows: above-threshold contracts have statutory minimum response windows (35 days Open, 30 days Restricted, etc.); below-threshold contracts can use shorter windows. Fourth, standstill and challenge: the automatic suspension on procurement challenge applies to above-threshold contracts; below-threshold contracts have lighter challenge mechanisms. Authorities should not split contracts to avoid threshold (artificial separation of a single requirement into multiple smaller contracts to fall under threshold is itself a breach). Bidders should treat threshold as a procedural rather than substantive divide: the underlying buyer requirements and quality expectations are usually similar; the procedural overhead differs.

Common questions

What is the current FTS threshold for goods and services?

Around £139,000 for central government and £214,000 for sub-central government (figures revised every two years; check current Cabinet Office threshold notice for exact values). Works contracts have a higher threshold around £5.3 million. The numerical values change periodically.

Can a buyer split a contract to avoid the FTS threshold?

No. Artificial splitting of a single requirement into multiple smaller contracts to fall below threshold is itself a breach of PCR 2015 / PA 2023. The threshold test applies to the total value of the requirement over its duration, not the individual call-offs or phases. Authorities found to have split contracts can be ordered to retender or face challenge.

Are below-threshold contracts published anywhere?

Central government contracts above £12,000 and other public sector above £25,000 must publish on Contracts Finder. Below those values publication is discretionary; many authorities publish anyway for transparency. KimonBids polls Contracts Finder for sub-threshold opportunities so suppliers see both above- and below-threshold relevant work.

Related terms

Related terms

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