Standards to be used by contractors and MOD, in contracts where lack of competition could impact on the value for money to the UK taxpayer.
The Single Source Cost Standards (SSCS) is a statutory guidance document that contractors and the Ministry of Defence must have regard to when entering into any contract where lack of competition could impact on the value for money to the UK taxpayer.
Its application is mandatory in determining whether costs are allowable under single source contracts. Non-compliance with the guidance is in breach of the Defence Reform Act and any breach allows for penalties and fines to be applied. The SSCS only deal with the treatment of costs in relation to single source contracts.
The aim of the draft guidance is to establish the basis upon which a contractor determines and calculates allowable costs for the purpose of pricing a qualifying defence contract (QDC) fairly and transparently. Costs must be appropriate, attributable and reasonable to be considered allowable.
FeedbackPlease email feedback to: allowablecostsconsultation@singlesourceregulationsoffice.gov.uk