UK procurement thresholds for 2026
The thresholds decide which rules a public contract follows. These are the amounts that apply from 1 January 2026 to 31 December 2027 under the Procurement Act 2023, as published on GOV.UK. We checked them against GOV.UK on 31 October 2026.
The thresholds from 1 January 2026
| Type of contract | Threshold |
|---|---|
| Goods and services bought by central government authorities | £135,018 |
| Goods and services bought by sub-central authorities, such as councils | £207,720 |
| Works contracts | £5,193,000 |
| Light touch contracts, such as many health and social care services | £663,540 |
| Utilities contracts (goods and services) | £415,440 |
| Utilities works contracts | £5,193,000 |
| Light touch utilities contracts | £884,720 |
| Concession contracts | £5,193,000 |
| Light touch concession contracts | £5,372,609 |
| Defence and security contracts (goods and services) | £415,440 |
| Defence and security works contracts | £5,193,000 |
GOV.UK gives every threshold as an estimated contract value including tax. A procurement that started before 1 January 2026 keeps the amounts that applied when it started.
What the thresholds mean
- At or above the threshold, a contract is a "public contract" and most of the Procurement Act applies, including the notices, minimum time limits and standstill rules.
- Below the threshold, it's a below-threshold contract. Fewer rules apply, but buyers still have to publish some notices and treat suppliers fairly.
The Procurement Act applies in England, Wales and Northern Ireland. Scotland has its own procurement rules and thresholds.
The below-threshold notice limits
Two smaller figures matter for most small businesses:
- £12,000 for central government authorities, including NHS trusts and NHS foundation trusts.
- £30,000 for all other contracting authorities, such as councils.
If a buyer advertises a regulated below-threshold contract worth at least these amounts, it must first publish a below-threshold tender notice on the Central Digital Platform, which is Find a Tender. After the award it publishes a contract details notice.
Other figures you'll see
- £2 million. Buyers that expect to spend more than £100 million in the coming financial year must publish a pipeline notice listing planned contracts worth £2 million or more (GOV.UK below-threshold guidance, para 34).
- £139,688. Some GOV.UK start pages for Find a Tender and Contracts Finder still quote this figure. For procurements starting from 1 January 2026, use the amounts in the table above.
When the thresholds change
GOV.UK says the thresholds are revised every two years to reflect currency changes under the UK's international agreements. New amounts take effect on 1 January of every even year, so the next change is due on 1 January 2028. Light touch thresholds aren't on this two-year cycle.
Questions
What is the procurement threshold for councils in 2026?
For goods and services it's £207,720 including tax, from 1 January 2026. For works it's £5,193,000. Below that, a council that advertises a contract worth £30,000 or more must publish a below-threshold tender notice first.
Do the procurement thresholds include tax?
Yes. GOV.UK gives the thresholds as estimated contract values including tax.
How often do the procurement thresholds change?
Every two years, on 1 January of each even year. The current amounts apply from 1 January 2026 to 31 December 2027. Light touch thresholds aren't on this two-year cycle.
Want a shortlist done for you?
UK Tender Desk, from Your Evenings Ltd (that's us), is a done-for-you tender shortlist for small businesses in construction trades, training, transport, care, cleaning and catering. We look at live tenders on Find a Tender and Contracts Finder and pick the ones that suit a business your size. See how UK Tender Desk works
Sources
- GOV.UK: PPN 023: 2026 Threshold Amounts (published 27 November 2025; read 31 October 2026)
- GOV.UK: Guidance: Thresholds (read 31 October 2026)
- GOV.UK: Guidance: Below-Threshold Contracts (updated 13 July 2026; read 31 October 2026) (notifiable below-threshold contracts, section 87(4))
- Find a Tender: search (pipeline stage definition; read 31 October 2026)
- GOV.UK: Find a Tender and GOV.UK: Contracts Finder (still quote £139,688; read 31 October 2026)
This guide summarises the official sources above. It isn't legal advice. Check the notice and tender documents for each contract.
Written with AI assistance by the Your Evenings team at Your Evenings Ltd. Last updated 31 October 2026.
