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The Single Source Contract Regulations 2014

S.I. 2014/3337 · Made 17 December 2014 · Extends to United Kingdom

Up to date with all changes known to legislation.gov.uk, revised to 5 June 2026.

Public Procurement

Made 17th December 2014

To come into force in accordance with Regulation 1.

A draft of these Regulations has been laid before Parliament and approved by a resolution of each House of Parliament.

The Secretary of State, in exercise of the powers conferred by sections 14(2)(b) and (c), (6) and (8), 15, 16(1), 17(1) and (2), 18(2)(c), (3) and (4), 21, 23(1), (4) and (5), 24(1) to (3) and (4)(a), 25(1), (2), (4) and (6), 27(1) and (3), 28(3)(c) and (d), (4)(c) and (d) and (5), 29, 30(2)(a) and (3) to (5), 31(3)(a) and (b) and (5), 32(5), 33(1) and (6), 35(1), 38, 41, 42(1) and (2), 43(2) of, and paragraph 1(1)(c) of Schedule 5 to, the Defence Reform Act 2014 M1, makes the following Regulations:C1

Annotations to the whole text

Marginal citations

M1

2014 c. 20.

Modifications

C1

Regulations continued (16.1.2024) by The Procurement Act 2023 (Commencement No. 1 and Saving Provision) Regulations 2024 (S.I. 2024/61), reg. 3

Contents

  1. Part 1: General
  2. 1Citation and commencement
  3. 2Interpretation
  4. 3Meaning of “defence purposes” and “substantially for defence purposes”)
  5. 4Meaning of “contract completion date” and “component completion date”
  6. 4AMeaning of “contract price”
  7. 5Calculating the value of a contract
  8. Part 2: Qualifying defence contracts
  9. 6Threshold value for qualifying defence contracts
  10. 7Contracts that may not be qualifying defence contracts
  11. 7AMeaning of a new contract
  12. 8Competitive process for single contracts
  13. 9Competitive process for contracts made under a framework agreement
  14. 9AComponents of qualifying defence contracts
  15. Part 3: Pricing of contracts
  16. Chapter 1: Contract pricing methods
  17. 9BContract pricing methods
  18. 9CRe-determination of contract price
  19. Chapter 2: Default pricing of contracts
  20. 10Default pricing of contracts
  21. 11Steps in determining contract profit rate
  22. 12Calculation of profit on cost once (“POCO”) adjustment Repealed
  23. 13Rates agreed on a group basis
  24. 13ACosts associated with group profits
  25. 14Re-determination of contract price Repealed
  26. 15Target cost incentive fee (“TCIF”) adjustment
  27. 16Procedure for determining final price adjustment
  28. 17Calculation of final price adjustment
  29. 18Determination of contract profit rate adjustments
  30. 19Determination of allowable costs
  31. Chapter 3: Alternative pricing of contracts
  32. 19ACommercial pricing
  33. 19BPrices determined in accordance with law
  34. 19CPreviously agreed price
  35. 19DNovated contract price
  36. 19ECompeted rates applied to uncompeted volumes
  37. 19FAgreed changes to the contract profit rate
  38. 19GAggregation of components
  39. Part 4: Records
  40. 20Duty to keep relevant records
  41. 21Examination of relevant records
  42. Part 5: Reports on qualifying defence contracts
  43. 22General requirements and interpretation
  44. 23Contract pricing statement
  45. 24Contract reporting plan
  46. 25Contract notification report
  47. 26Quarterly contract report
  48. 27Interim contract report
  49. 27AComponent completion report
  50. 28Contract completion report
  51. 29Contract costs statement
  52. 30On-demand contract report
  53. Part 6: Reports on overheads and forward planning etc
  54. 31Application of this Part
  55. 32Interpretation
  56. 33General requirements
  57. 34Actual rates claim report
  58. 35QBU actual cost analysis report
  59. 36Estimated rates claim report
  60. 37QBU estimated cost analysis report
  61. 38Estimated rates agreement pricing statement
  62. 39Rates comparison report
  63. 40Strategic industry capacity report: general requirements
  64. 41Strategic industry capacity report: corporate structure
  65. 42Strategic industry capacity report: activities, people and infrastructure
  66. 43Strategic industry capacity report: forecast costs of maintaining industrial capacity
  67. 44Strategic industry capacity report: capacity and supply chain
  68. 45Small or medium enterprises (“SME”) report
  69. Part 7: Records and reports: restrictions
  70. 46Disapplication of requirements to give information
  71. 47Reference to SSRO to investigate obligation of confidentiality
  72. Part 8: Compliance
  73. 48Contraventions of section 31
  74. 49Time limits for compliance notices and penalty notices
  75. 50Maximum penalties
  76. Part 9: SSRO: opinions and determinations
  77. 51Matters on which the SSRO must give an opinion
  78. 52Matters in relation to which the SSRO must make a determination
  79. 53Time limits for applications for opinions
  80. 54Matters to which the SSRO must have regard in making determinations
  81. 55References in relation to contracts entered into before the relevant date
  82. Part 10: Restrictions on disclosing information
  83. 56Information specified for the purposes of paragraph 1(1)(c) of Schedule 5
  84. Part 11: Qualifying sub-contracts
  85. 57Interpretation
  86. 58Requirements for qualifying sub-contracts
  87. 59Competitive process for single sub-contracts
  88. 60Competitive process for sub-contracts made under a framework agreement
  89. 61Assessing whether a contract would be a qualifying sub-contract
  90. 62Appeal against assessment
  91. 63Cessation of application to qualifying sub-contracts
  92. 64Modifications of Part 2 of the Act
  93. 65Modifications of these Regulations
  94. 66Price adjustments for qualifying sub-contracts
  95. Signature
  96. Schedule: Re-determination of contract price
  97. Part 1: General
  98. 1Application of Schedule
  99. 2Interpretation
  100. 2APricing amendments not covered by Part 2 or 4
  101. 2BMultiple pricing amendments
  102. Part 2: Re-determination of price using a default pricing method
  103. 3Application of Part 2
  104. Change of default pricing method
  105. 4Amendment of the default pricing method used for a qualifying defence contract
  106. 5Amendment of a default pricing method used for a ... component of a contract
  107. Change to an element of allowable costs
  108. 6Amendment affecting a defined element of allowable costs
  109. Change to a contractual requirement
  110. 7Change to a contractual requirement: contract or ... component not using cost-plus method
  111. 8Change to a contractual requirement: contract or ... component which uses cost-plus method – distinguishable costs
  112. 9Change to a contractual requirement: contract or ... component which uses cost-plus method – costs not distinguishable
  113. ...
  114. 10Other amendments Repealed
  115. Part 3: Multiple pricing amendments to a qualifying defence contract Repealed
  116. 11Scope of Part 3 Repealed
  117. 12Re-determination of the contract price Repealed
  118. Part 4: Re-determination of price using an alternative pricing method
  119. 13Application of Part 4
  120. 14Pricing amendment of contract or component priced using regulation 19A (commercial pricing)
  121. 15Pricing amendment of contract or component priced using regulation 19B (prices determined in accordance with law)
  122. 16Pricing amendment of contract or component priced using regulation 19C (previously agreed price)
  123. 17Pricing amendment of contract or component priced using regulation 19E (competed rates applied to uncompeted volumes)
  124. 18Pricing amendment of a contract priced using regulation 19G (aggregation of components)
  125. Explanatory note