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Procurement Reform (Scotland) Act 2014

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This is the original version (as it was originally enacted).

Regulated contracts

3Regulated contracts

(1)A contract is regulated if—

(a)it is a public contract,

(b)the estimated value of the contract (see section 5) is equal to or greater than the contract threshold, and

(c)the contract is not an excluded contract (see section 4).

(2)For the purposes of this Act, the contract threshold is as follows—

Type of contractThreshold
Public contract (other than a public works contract)£50,000
Public works contract£2,000,000

(3)The Scottish Ministers may by order amend the table in subsection (2) so as to substitute for the figures specified there for the time being such other figures as they consider appropriate.

4Excluded contracts

(1)A contract is an excluded contract for the purposes of section 3 if—

(a)it is a contract of a kind mentioned in paragraph (1) or (2) of regulation 6 of the Public Contract Regulations,

(b)the following conditions apply—

(i)it is for the purpose of acquiring goods, works or services in order to sell, hire or provide them to other persons,

(ii)the contracting authority will not have an exclusive right to sell, hire or provide the goods, works or services, and

(iii)the conditions on which the contracting authority intends to sell, hire or provide them are the same as or similar to the conditions on which another person could sell, hire or provide the same or similar goods, works or services, or

(c)the principal purpose of the contract is to acquire goods, works or services in connection with research or development undertaken by the contracting authority.

(2)The Scottish Ministers may by regulations amend subsection (1) so as to modify the kinds of contracts which are or are not excluded contracts.

5Estimated value of contract

(1)For the purposes of this Act, the estimated value of a contract is the value of the total consideration (not including value added tax) which the contracting authority expects to be payable under or by virtue of the contract.

(2)The Scottish Ministers may by regulations make further provision about how the estimated value of a contract is to be determined.

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