Demonstrating Value for Money

26/03/2024

We have now changed what an applicant needs to do and provide to ensure we have the documents we need to prove value for money.

• If quotes and tenders will be undertaken prior to submitting an application, we will need these details when the application is submitted.
• If an applicant intends to supply quotes and tenders when they know their application is successful they will need to provide these details when requested.

This is especially important if the value of any part of a project will result in quotes or tenders over £25,001. It is therefore important that applicants keep details of where a tender was advertised, who responded and whether or not they tendered for the work. It is as important to keep details of contractors who declined to tender, as it is to keep the details of those who did.

DEMONSTRATING VALUE FOR MONEY

We are required to provide the regulators of the scheme with details on how each successful project has demonstrated value for money. The higher level of funding provided, the greater evidence we need to provide. We require, at the very minimum:

• Costs up to £1,000 Single quote
• Costs between £1,001 to £25,000 At least 3 quotes
• Costs above £25,001 Competitive tendering, with at least 3 responses

The above are thresholds for each project element to be delivered by separate suppliers/ contractors, not the entire project cost, or the amount of your grant.

By competitive tendering, we mean a declaration of intention of project works, in the most appropriate public arena to generate bid submissions. This means you should advertise your intention to undertake the project work locally and/or nationally, so contractors/suppliers may offer their services and bid for the work. Advertising for work may include details on parish noticeboards, posted on websites and on social media. Depending on the cost of the work it may be appropriate to use a tender management website. If it is difficult to generate enough submissions from an advert as only one or two respond, proactive requests can be included.