By Christopher Jones, Advocacy Officer
This Month, The Times published an article highlighting the procurement process led by Great British Nuclear (GBN) for selecting a preferred provider for Small Modular Reactor (SMR) technology, which involved a reported £22 million in costs. Much of the coverage has focused on the scale and complexity of the procurement process, including scrutiny of the social value requirements included in the tender.
The criticism of the process has shifted the conversation toward ‘red tape’ as a cost driver and away from a more important, constructive discussion about how social value can be embedded effectively in procurement. At the Institute for Social Value, we believe this story represents an opportunity for all of us across the social value landscape to reassert the purpose and potential of social value as a core component of responsible public spending.
Social value: A responsibility, not a requirement
The current Labour government has placed renewed emphasis on making procurement more strategic, transparent and locally responsive, reflecting a growing recognition that procurement is not just a commercial tool but a lever for delivering social and economic change.
Social value helps ensure that public spending delivers long-term benefits for people, places and the planet. That includes creating inclusive employment, supporting resilient supply chains and contributing to community wellbeing.
In the SMR competition, social value commitments included increasing workforce diversity, supporting disadvantaged groups and embedding inclusive employment practices across the supply chain. Reporting thus far has characterised these goals as a meaningless ‘red tape’ requirement, as though a fairer, more resilient economy brings no tangible benefit to the taxpayer.
Why these commitments matter
At the Institute for Social Value, we take a different view. Far from being a peripheral concern, commitments to an inclusive, equitable workforce are essential to unlocking the full social and economic potential of public spending.
When done well, these approaches deliver tangible benefits. A diverse and inclusive workforce has been shown to improve decision-making and boost productivity. Embedding fairness and equity in procurement helps ensure that taxpayer-funded projects generate shared economic opportunities.
There is also a clear business case. We know that inclusive supply chains are more adaptable. Local employment improves project legitimacy. Social value requirements give government, industry and communities a common framework for ensuring that major investments lead to lasting, measurable outcomes.
For those operating in the social value space, these benefits will come as no surprise. What this story does tell us, however, is that while a great deal of progress has been made in embedding social value in procurement processes, public understanding remains limited. There is more work to do, not only to defend these commitments but to communicate their value more clearly and embed them more confidently in practice.
